Operational Due Diligence
Operational due diligence is about understanding a manager’s internal operations to protect investors from losses related to operational failures or frauds. Minor violations that are overlooked or ignored, can feed bigger ones. This can foster a culture, where laws are increasingly treated as ‘toothless guidelines’.
Laven Partners’ due diligence services provide investors with an independent review of an asset manager’s operations and investments. Each review assesses the asset manager and the fund’s commitment to regulations and industry best practice standards.
Trust, but Verify: Laven Partners’ process comprises of reviews of documentation provided by the fund manager. This is further followed by independent corroboration of the information with service providers and through an on-site visit.
Strategies: range from classic equity, credit, fixed income, to global macro, CTA, fund of fund, managed account platforms, private equity, and real estate or other illiquid strategies.
Reports: based on a comprehensive check of over 520 red flags and concerns. Those are derived from regulatory laws from Europe, North America and Asia and best practice standards from AIMA, MFA, Invest Europe (formerly known as EVCA) and ILPA.
Each Laven Partners’ Due Diligence review covers the following areas:
IS0 9001:2008: since 2009, Laven Partners has held the ISO 9001:2008 quality standard designation for the quality and reliability of its independent process of due diligence.
Laven Partners’ Due Diligence Manager©:
Laven Partners developed the Due Diligence Manager (the ‘DDM’) digitalising operational due diligence and report production. The DDM is designed to remove errors and inconsistencies in the content and the creation of the report. It allows subject matter experts to focus on their areas of expertise while ensuring time efficiencies and project management. Laven Partners uses the DDM technology for its outsourced ODD work. The software is also available for direct licensing by clients. Click here to learn more.