Socium Fund Services (Socium) has chosen Cascata Solutions for management fee and expense accounting services for its private fund clients.
Socium Fund Services is a Suntera Global company that offers middle- and back-office solutions to institutional and emerging managers for waterfall distributions.
The U.S. Securities and Exchange Commission's (SEC’s) recent implementation of ‘private fund rules’ has introduced regulatory demands regarding the content and frequency of investor reporting, backed by penalties for non-compliance.
In this context, ensuring the accuracy of the waterfall distribution process is crucial for establishing and maintaining trusted, long-term client relationships, says Socium. A distribution waterfall is a way to allocate investment returns or capital gains among participants of a group or pooled investment.
Due to their complexity and importance, accurate and timely waterfall calculations are critical but carry significant risk responsibility for fund administrators, Socium adds.
Cascata Solutions delivers digital software solutions for private capital fund administrators and their clients, to modernise their back-office operation for distribution waterfall administration.
Commenting on the mandate, Michael Von Bevern, co-managing director of the Americas for Socium, says: "Our platform automates the entire process from data input to client reporting, ensuring transparency in system-generated outcomes. This instils confidence in our clients and auditors and streamlines our operations."
Charles Dooley, CEO of Cascata, adds: "Leading global fund administrators like Socium are leveraging our platform to achieve digital-enabled carried interest and fee management. This transformation delivers operational efficiency, scalability and substantial client value gains, with efficiency improvements of up to 45 per cent."
