RCP Advisors, LLC is a private equity investment management firm that provides access to lower middle market private equity fund managers through funds-of-funds and through direct co-investments.
The firm had invested in nearly 100 funds and close to 1,000 underlying portfolio companies and while each of the members on the firm’s investment committee was familiar with a specific part of the portfolio, it was impossible for all of them to closely follow the entire portfolio because of the firm’s size. RCP’s 2-man portfolio monitoring team, then, was charged with providing the investment committee with a summary of the entire portfolio on a quarterly basis. These reports, usually built in spreadsheets, produced a limited view of the entire data set and were often just a snapshot of the current state of investments.
Since 2005, RCP had been using AIM to track fundraising, investment due diligence, and portfolio management. In 2011, Altvia reconfigured RCP’s AIM database to accommodate enhanced reporting. RCP then invited Altvia back to Chicago later that year to help them leverage the functionality of their new database by configuring the customized reports the portfolio monitoring team needed. Once on site, Altvia and the portfolio monitoring team started by brainstorming ideas for the kind of information they would like to get out of their database. Eventually they outlined a set of 10 reports that they wanted and Altvia went to work creating them.
“We have more accurate and more meaningful data and we can do everything more real-time. I think we became a lot more efficient.”– Adam Ciborowski, RCP Advisors
Leveraging their new reporting capabilities, the portfolio monitoring team is providing RCP with data that is more informative, more insightful, and more accurate, letting RCP ultimately make better-informed decisions. “I think it helped us look at our data in a different way,” says Ciborowski. “We had been looking at it very high level and now we are able to break it down and be more specific. We have more accurate and more meaningful data and we can do everything more real-time. I think we became a lot more efficient.”
Download the complete case study for more about how RCP’s improved reporting provided more insightful data and efficient decision making.