Case Study #1: Build-Out of Alternative Investments Platform
Challenge:
A regional brokerage firm needed to accommodate the alternative investments business (both public and private placements) of some recruits on a very tight timeframe. The firm had very little experience in the alternative investments business.
Action Steps:
Utilizing a proprietary questionnaire designed for the client, AK Advisory Partners interviewed key members of the project team, including senior management, product management, operations, compliance and legal. The project plan that emerged incorporated all aspects of building a new platform – including due diligence, operations and all appropriate questionnaires and policies and procedures manuals – and addressed all of the concerns and issues of the team. The training needs of the staff as well as the firm’s advisors were also addressed in the project plan. Weekly project team calls were held to monitor the progress of the project.
Results:
A new alternative investments platform was fully operational within the required timeframe, including creation of all documents (e.g., due diligence questionnaire, client and advisor profile sheets, advisor training materials and all policies and procedures manuals) and final sign-off from all departments involved as well as outside legal counsel. The firm was able to accommodate the business of the new advisors joining the firm, and now has a framework for adding additional alternative investments and allowing existing advisors to participate in the business in the future.
