Matthew Charleson discusses the aims of Kane’s new fund administration arm and explains why now was the ideal time to launch
1. Kane LPI recently announced the extension of its services to include fund administration. Can you outline the primary goals of the new service line?
Kane LPI has a well-established global reach via our existing client base and employs a multi-location service model, offering a highly flexible, multi-functional turnkey administration solution which enables us to guarantee speed to market for our clients.
The primary goal of the new service line is to effectively enhance our existing business platform with the inclusion of fund administration to provide high quality, timely and cost efficient service directly to funds. We see fund administration as a natural extension of the current service offering to clients, sitting side by side with our LPI TPA services.
We are also working closely with our highly experienced ILS teams in Bermuda and Cayman, and capitalizing on the multi-jurisdictional platform that Kane operates from to ensure that we offer a truly global service.
2. Can you outline some of the services it will offer?
The service line offers a full suite of administration services which extends from assistance and guidance on the initial structuring and set-up of the fund, whether that be a hedge fund, fund of funds, mutual fund or ILS fund, to fund registrar and transaction services, together with the recording and processing of all subscriptions and redemptions from investors, factoring in all KYC and AML source of fund checks.
All aspects of our fund administration services, including trade capture, cash processing and reconciliation, and regulatory compliance functions, will be fully integrated into Kane LPI’s IMS system which provides both the front-end customer-facing platform as well as the back-end information processing capabilities.
“The primary goal of the new service line is to effectively enhance our existing business platform with the inclusion of fund administration to provide high quality, timely and cost efficient service directly to funds”
3. Why was the decision made to launch the fund administration business now?
This is something that our clients have been asking for; that we become a full service provider. We already have a state of the art administration platform providing third party administration services to our life, pension and investments clients, and we now are able to offer the same platform and services to fund clients.
There are also market developments which have influenced our decision to launch the service line now. For example, the recent regulatory amendment to the Investment Funds Act 2006 in Bermuda, which allows a registered investment manager to establish a Bermuda fund which will be exempted from the authorization requirements under the Act.
4. From an individual perspective, what are you seeking to achieve in your new role?
I fully believe that the full service global administration offering we now provide meets a real market need. I am looking to bring my administrative experience in the investment field to the Kane table to share in the growth of the fund administration industry, build on the success and reputation of Kane LPI and ultimately offer more value for our clients. I want to build on my existing skills and market knowledge to promote the extensive capabilities of not only Kane LPI but also our global teams in Bermuda, Cayman, Dubai, Europe and the US.
5. Moving forward, where do you see the opportunities for Kane to grow its fund administration operations?
I see us leveraging our current relationships with existing clients to expand our service offering while also looking to promote our extensive range of capabilities to a broader potential client base. The recent announcement of the establishment of the new SCF Fund in Bermuda showed just how effective Kane can be at pooling its range of services – the LPI team were able to provide the fund administration services while the Bermuda team provided insurance management services. We will continue to look for synergies between our various teams and clients to enhance the level of service that we can provide not only within Kane LPI but across the Group.