Nearly half of LPs are unhappy with current performance reporting, while almost three-quarters expected live or daily portfolio performance updates, according to new research.
A new study by CSC revealed widespread dissatisfaction with performance reporting. Thirty-five per cent of surveyed GPs pointed to investor portal technology as the biggest frustration when working with GPs. Timely and accurate communication, and data granularity and analytics, were the following two sources of frustration.
Read more: Pricing and transferability are key challenges in GP-led credit secondaries
Half of GPs intend to invest in artificial intelligence to improve efficiency and decision-making, it found. Sixty-three per cent plan to expand their technology frameworks.
“One of the biggest hurdles encountered by fund managers is streamlining data management, including centralising and rationalizing the data they need to store,” said Marshall Saffer, managing director, funds and capital Markets, CSC. “Many firms struggle to find the internal resources to handle this effectively.”
Read more: 77pc of employees are lost on how to use AI, are you one of them?
“Technology now plays a central role in discussions between GPs and LPs, far more than it did five or ten years ago,” he continued. “As regulatory complexities increase and investor expectations evolve, firms that integrate advanced technology solutions and strategic outsourcing will maintain a competitive edge in 2025 and beyond.”
Thirty-nine per cent of GPs, meanwhile, ranked hiring and retaining skilled professionals as their primary concern over the next three years.
The report surveyed 300 GP and 200 LP senior fund professionals in Europe, the UK, North America and Asia Pacific.
Read more: How to use AI to boost your job prospects in 2025
