State Street has been selected by Blackstone Alternative Asset Management (BAAM) and Legg Mason for liquid alternatives fund servicing.
The liquid alternatives, similar to alternative investment strategies, are available through investment vehicles such as mutual funds, exchange-trade funds or close-end funds that provide daily, weekly or biweekly liquidity.
State Street offers reporting, compliance, accounting, custody, settlement and analytics services to liquid alternative fund managers.
Alan Greene, executive vice president at State Street, said liquid alternatives offer both “opportunities and challenges” for asset managers.
He added: “Our fully integrated technology platform takes care of the day-to-day back office functions of collateral management and offers one-stop shopping for reporting, compliance, accounting, custody, settlement and analytics. By taking the operational risk off their shoulders, we can help our clients focus on harnessing value from new sources.”
Art Liao, chief financial officer at BAAM said: “We appreciate State Street’s partnership with BAAM for the launch of our first liquid alternative fund.”
“The goal of implementing hedge fund strategies within the 40 Act rules in a multi-manager framework of hedge fund managers is extremely complex and underscores the importance of having the right partners making meaningful contributions.”
