Monday, December 3, 2012

It's crunch time for alternative fund administrators




The recent departures of Andrew Gordon from BNY Mellon and Stewart Bent from Credit Suisse underline an industry trend of cost-cutting and consolidation, asianinvestor reports.

Asia's alternative fund services industry is in a state of flux, with newcomers catering to small, indigenous funds while consolidation and cost-cutting is taking place at larger providers.

Administrators focusing on hedge funds are particularly vulnerable, as their income is directly tied to the AUM of their clientele. Total Asian hedge fund assets are at about $145 billion and have not yet recovered to the high of $192 billion recorded at the end of 2007.

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