Interview: Private capital investors pushed to invest in tech
As part of Private Equity Wire’s European Service Provider Insights 2021, Moritz Haarmann, Head of Product Development at AssetMetrix, was interviewed on the topic of digitalisation in the private capital sector.
In the interview, he discusses the reasons for the increased investment in technology, including the pressure from limited partners and regulators on fund managers and the increased need for transparency, the timely provision of high-quality data, and the generation or maintenance of operational excellence in COVID times.
In addition, the product development expert addressed the various areas that can be supported by technology in the private capital industry and the challenges PE managers face.
Key areas of application include areas where manual tasks can be streamlined and automated, such as reporting, communication between Limited and General Partners, as well as more efficient data collection, analysis, visualisation and exchange.
Haarmann emphasises portfolio analytics as an essential foundation to continuously optimise private equity portfolios. Due to the large amount of data that needs to be aggregated and analysed from various sources, a complete package such as AssetMetrix offers stands out as the optimal solution.
Finally, Haarmann takes a look at future trends, including the application of developments already observed in the area of liquid assets, such as data-driven investment decisions, self-optimising quantitative models and the machine reading of paper-like reports for private equity, all based on innovative cloud technologies.
AssetMetrix supports closer interaction between LPs and GPs by providing a platform on which data can be exchanged and insights can be gained to create greater transparency, bringing both sides together.