State Street has announced the establishment of State Street Alternative Investment Solutions, which combines its hedge fund, private equity and alternative risk servicing capabilities to
State Street has announced the establishment of State Street Alternative Investment Solutions, which combines its hedge fund, private equity and alternative risk servicing capabilities to provide a complete set of fund accounting, fund administration and risk services to hedge and private equity funds.
‘The alternative investments market is estimated at USD4.2trn in global assets under management with a 16 percent compound annual growth rate,’ says Jack Klinck, executive vice-president and global head of the Alternative Investment Solutions team.
‘Combining our expertise in the hedge fund, risk and private equity servicing businesses under one name and unit provides our clients with dedicated solutions for these complex and rapidly-growing market segments.’
Alternative investment servicing is a key growth area, State Street says. The group acquired hedge fund administrator International Fund Services in 2002 and Palmeri Fund Administrators, a private equity fund administrator, last year.
In addition, its acquisition of Investors Financial Services, also in 2007, added to the group’s capabilities in the hedge fund and private equity arena. Today State Street provides services for more than USD550bn billion in alternative investment assets under administration.
Adds Klinck: ‘The launch of our new Alternative Investment Solutions unit combines our acquired and existing offerings into a single entity and allows us to develop individual solutions that can meet virtually any level of asset servicing requirements for clients ranging in size and complexity.’
The Alternative Investment Solutions business has more than 2,200 employees at offices in Boston, Ireland (Drogheda, Dublin and Naas), Toronto, London, Tokyo, Sydney, New York and New Jersey. Given its strong name recognition among hedge fund managers, International Fund Services is keeping its name and identity under the umbrella of State Street Alternative Investment Solutions.
State Street Corporation is the world’s leading provider of financial services to institutional investors including investment servicing, investment management and investment research and trading, with USD15trn in assets under custody and USD2trn in assets under management at the end of March.
