Investments into alternative assets have historically been a slow and manual process, with documents mailed or faxed between various stakeholders for signatures. Typically, there are at least 4 stakeholders, the investor, their advisor, a broker-dealer, and the sponsor of the investment. Completing the subscription can take six weeks or more, and the entire process is opaque, with sponsors and advisors having little visibility into the status of a subscription until it lands on their desk.
The introduction of E-signature technology helps provide a window into investments in process. Where previously, a phone call or email to another stakeholder would have been the only way to check on the status of a subscription document, trackable e-sign documents let stakeholders view who has received, opened, and signed. With no need to mail or fax documents, the process can be reduced to one week or less. And thanks to new laws like ESIGN, UETA, and NASAA's Statement of Policy, electronic signatures are recognized nationwide on both a federal and state level.
But even with a standalone e-signature solution, users have to view each document’s status individually. For an advisor with dozens of clients, each with a diverse portfolio of investments, checking on all of the subscriptions in progress individually could be a burdensome task. The same goes for a sponsor who may have multiple live offerings, each with their own set of investors. And, despite the benefits of e-signature, some advisors and investors still prefer to manually sign documents, meaning only some documents are trackable, while the status of others remains obscured.
Transaction Activity dashboard
In addition to Altigo generating pre-filled, e-signature ready subscription documents, Altigo’s Transaction Activity Dashboard aggregates data from all outstanding e-signature and manual signature documents. This dashboard lets both advisors and sponsors view a list of investments in progress, as well as how many are in each stage of the process. A total dollar amount is visible for each stage as well, letting users track their funnel and see dollars moving through the process in real time.
The list of investments can be searched, sorted, and filtered based on criteria such as investor name, dollar amount, investment method, subscription status, and activity date. When filtering, the aggregate data at the top of the screen updates to only include the relevant investments.
With the transparency and speed provided by Altigo, alternative investments in progress can finally be reliably tracked, making life simpler for advisors and sponsors.
See what else Altigo can do; watch our overview video.
Disclaimer: WealthForge provides this information for educational purposes only. It should not be construed or relied upon as legal or tax advice.