Capricorn Fund Managers, a Johannesburg and London based hedge fund manager, has selected Viteos for a complete middle office services solution on a co-sourcing model.
Capricorn had earlier outsourced its Fund Administration and Middle Office services to BNY Mellon Investment Servicing (International) Limited (BONY). As part of a periodic strategic review, Capricorn initiated an RFP and selection process, separating its middle office provider and fund administrator.
Capricorn looked for its Middle Office provider to:
· Retain Linedata Beauchamp as its portfolio management system which had the entire history for all the funds (earlier provided by BONY)
· Put in a structure where middle office was independent of the fund administrator
· Select a credible supplier who could transition the middle office process and collaborate with Linedata, BONY, and Capricorn
· Provide an institutional level middle office capability, working with multiple fund administrators, thereby ensuring scalability, wider asset class coverage and support based in London and Johannesburg.
Capricorn decided to opt for a co-sourcing model, where the technology and data is owned and retained by the Manager with the middle office outsourced to Viteos. The unique structure and engagement model gives Capricorn control and oversight on its data and de-risks any cash, positions and trade breaks, which are reconciled and resolved between PB(s), Fund(s), Fund admin(s) and middle office daily by Viteos.