PEI’s publication, Infrastructure Investor, highlights a perspective from Altvia’s CEO, Kevin Kelly, on the “big data” trend in the article Fundraisers should get savvier with data. This article, which was originally published in Private Funds Management, explores how private equity firms that successfully exploit data can benefit from increased efficiency and a competitive advantage over their rivals.
A number of private equity fund managers are using data and fund management software to help make the business and the fundraising process more efficient. This trend is being driven in some parts by requests from LPs, but in most cases it is GPs who are starting to recognize the increasing potential of big data. “Forward-looking firms are the ones that realize that there is a lot of data in their operations; they just need to do a better job of capturing it,” comments Kevin. Fund managers, in particular, are using data during the fundraising process to keep track of the indicators that make an LP a viable prospect, to flag existing investors and investors that turned down a previous fund for reasons that the manager can then address.
“Fund managers are starting to realize that they do not only need to be in front of LPs more frequently with more information at hand but they also need to be more targeted to make sure that their efforts are targeted at LPs that are their ideal prospects,” adds Kevin. Read more about Infrastructure Investor’s article, Fundraisers should get savvier with data (subscriber access required)