Clients gain transparency of underlying funds’ ultimate investments

Northern Trust (Nasdaq: NTRS) has launched a portfolio reporting and monitoring solution for private equity fund-of-fund managers which enables them to track in detail their fund of funds holdings and valuations right through to portfolio company level.

“Detailed tracking of underlying investments by a private equity fund of funds manager can be a very time consuming, specialised and resource hungry middle office operation,” said Mark Schoen, head of global product and strategy for Europe, Middle East and Africa.

“Through Northern Trust’s fund and investment tracking solution, we can provide our clients with a high level of granularity and reporting that effectively ‘looks through’ the underlying funds to the ultimate investments.”

The enhanced solution includes the following updates:

•Recording of transactions at the underlying investment company level
•Valuation processing at the underlying investment level, adjusted real-time by cash-flows.
•Portfolio reporting which can include diversification by geography, industry, vintage year, or as required
•Summary investment reports
•Specific underlying investment reports such as unique investment exposure across all funds
•Benchmarking performance against a range of Indices

Independent investment manager, Conversus Asset Management LLC, uses Northern Trust’s portfolio reporting and monitoring solution:

“By tracking the underlying cash flows in detail, Northern Trust enables us to produce more sophisticated and granular portfolio analytics,” said Roy Moyer managing director at Conversus Asset Management.

“Northern Trust’s solution enables us to receive more timely and accurate investment reporting and valuations.”

“Northern Trust developed this offering in line with our continuing focus on tailored solutions for clients,” said Peter Cherecwich, Chief Operating Officer for Corporate and Institutional Services at Northern Trust.

“As a means to diversify risk and improve performance, investment managers often select fund-of-funds investments. Through our sophisticated reporting solutions, clients are better equipped to make informed investment decisions, which take into account all aspects of their investments.”

Northern Trust has more than 25 years of experience servicing private equity funds across the globe and has one of the largest specialist private equity administration teams in the market. As of January 1, 2010, Northern Trust provided private equity fund administration services to over 60 different client groups, covering 113 funds.

For more information on this product or on our Jersey office, please contact Paul Guilbert, CEO of the Jersey Office and Global Head of Private Equity Fund Administration, on +44 1534 832 832 or Paul_Guilbert@ntrs.com.

About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of investment management, asset and fund administration, banking solutions and fiduciary services for corporations, institutions and affluent individuals worldwide. Northern Trust, a financial holding company based in Chicago, has offices in 18 U.S. states and 16 international locations in North America, Europe, the Middle East and the Asia-Pacific region. As of March 31, 2010, Northern Trust had assets under custody of US$3.7 trillion, and assets under investment management of US$647.3 billion. For 120 years, Northern Trust has earned distinction as an industry leader in combining exceptional service and expertise with innovative products and technology. For more information, visit www.northerntrust.com.