Manual investment processing falls short in accuracy, security, and speed. However, emerging technology solutions can pave the way for an improved alternative investment experience that benefits sponsors and advisors, their investors, and even third party participants such as transfer agents, fund administrators, and custodians.
Despite being used for decades, paper-based subscriptions are rife with security issues, result in high error rates on documents, and generally create an unsatisfying user experience, which can result in elevated investor dropout.
Straight through processing enables issuers and advisors to collect investor information, verify their identity, deliver signature-ready subscription documents, and transfer funds, all through a secure online workflow.
Technologies like electronic signature have paved the way for a new standard in alternative investments. There are more tools, such as user playback, secure document storage and sharing, and API integrations, that can make the process even smoother.
