Nowadays investor attitudes mean fund managers need to be more transparent. Feedback from our conversations with institutional investors and fund managers across Europe shows that a regime change is underway. Things have stalled – investors aren’t allocating capital as easily and fund managers are overwhelmed with new reporting burdens. Regulation may force change but investor attitudes mean fund managers need to act now.

Investors are more prudent when completing their due diligence. Historically performance mattered, now other variables are important like knowing the manager better, track record, resumes of the team and service providers.

Therefore investment selection is evolving which means better investment choices for investors. Darwin theory and increased scrutiny further suggests the surviving funds are more likely to be higher quality, offer better transparency and behave more ethically and friendly towards their investors.

Natural selection is now at work as investor attitudes have changed.

A recent publication from Casey Quirk shows how things are changing, the authors note:

"... investors have redefined transparency, and will no longer accept incomplete visibility into managers’ portfolio risks and operations. Coupled with renewed regulatory scrutiny, the industry will have no choice but to open up. The industry could help itself by embracing transparency and helping shape how it would work with investors and regulators."

Its easy to say that things are changing but where can investors find the information they need and funds managers demonstrate they are at the front in this new world. That is where Alternative Decisions comes in. Not only are we here to foster this relationship but to constantly improve the information shared between investor and fund manager.

We are constantly engaging with investors and fund managers to bring them together to help everyone make better investment decisions. Alternative Decisions is improving how information is shared, consumed and managed. The library sets minimum standards managers need to satisfy and then “pulls” on them to update and improve content.

Investors recognise the qualitative function we perform as managers active on Alternative Decisions agree to strive for better reporting, investor friendly standards and transparency. A constant cycle of improvement raises the quality of relationships formed on our platform. We hope to be part of the evolvution of the alternative investment industry and an advocate of higher standards.