Hedge Fund Consulting Services

Hedge funds use IPS in ways that leverage our abilities and experience.

IPS often manages special projects, including transitions to new systems and service providers as well as recalculating historical performance. We have monitored the work of both internal operations staff and outside service providers. We have prepared financial statements and performed various other internal roles for our clients.

Some examples of consulting services that IPS has provided to the hedge fund industry are as follows:

A multibillion-dollar debt manager involved in numerous complex derivative contracts had difficulties accounting for, reporting and disclosing its positions. IPS diagnosed the situation and was able to show the manager five key changes that needed to be made in order to get its operations in order. IPS guided the manager in implementing these changes and was able to share real-world experiences of what did and did not work. IPS aided the manager’s reporting department in producing its year-end financial statements.

A long/short equity and fund of funds manager purchased an industry standard accounting system, but could not get the system to maintain the accounting records properly. They had hired consultants from the software provider, but were unable to make the package fully operational. IPS worked with the controller to determine how to account for each type of transaction and helped the controller develop a monthly control procedures manual. IPS remained involved and reviewed the controller’s work on a monthly basis until both the controller and IPS were comfortable that the monthly process was timely and producing accurate results.

A new hedge fund manager wanted to market its track record managing separate accounts prior to forming a hedge fund. IPS was able to compile all of the raw data from the manager’s broker, verify the data against custody statements and recalculate the manager’s performance. Involving IPS allowed the manager to share its track record with confidence knowing that IPS had verified the underlying data and recalculated the performance.