AltExchange adds support for ILPA Fee Transparency Template

AltExchange adds support for ILPA Fee Transparency Template

AltExchange Alliance releases an add-on to its domain standards to include the ILPA Fee Transparency Template

The AltExchange domain standards mark the industry’s first attempt to unify and codify the presentation of financial information by fund managers to Limited Partners (LPs) in an easily consumable format.

 

London and New York, March 30, 2016 – The AltExchange Alliance today released a new digital format for comprehensive reporting of private equity partnership fees and expenses information. The new standard mirrors the information captured by the Institutional Limited Partners Association’s (ILPA) recently released Reporting Template and was developed in conjunction with the ILPA, an AltExchange member.
This development reflects the ongoing commitment by stakeholders from across the industry to promote and adopt financial reporting standards. The AltExchange data domains build upon the ILPA’s reporting guidelines first issued in 2011, including the Reporting Template, which is the first deliverable of the ILPA’s Fee Transparency Initiative launched in May 2015. AltExchange’s open architecture reporting format allows General Partners (GPs), LPs and service providers to efficiently exchange portfolio information in a uniform financial reporting process.

To facilitate the communication of the information included in the ILPA Reporting Template, the AltExchange Alliance has issued a new version of its Group One Standard, released in 2013 as the industry’s first ever detailed template for the exchange of data related to capital accounts, schedules of investments, and cash flow activity. With the updated Standard, GPs and LPs will have the possibility to exchange information on fees, expenses and carried interest in an XML format that can be validated by the AltExchange Validation Platform. The AltExchange Validation Platform will provide support to fund managers to generate valid files and will also support AltExchange Members that are LPs to view such files in a readable Excel format.

ILPA’s Managing Director of Industry Affairs Jennifer Choi welcomed the enhancement of the AltExchange Data Standard. “Facilitating the delivery of standardized information, as embodied in the ILPA Reporting Template, has always been the ultimate goal of the Transparency Initiative. The work of the AltExchange coalition to standardize and most importantly digitize this data has been invaluable to ILPA’s efforts to encourage broad adoption of a more uniform approach to reporting. AltExchange is an excellent resource for any institution interested in adopting the ILPA Reporting Template.”

“I am proud of the collaborative milestones achieved by AltExchange as the industry has come a long way with regard to developing reporting standards,” said Joncarlo Mark, AltExchange Chairman. “Most practitioners agree that a single reporting protocol will streamline a somewhat archaic financial reporting process and result in efficiency gains that both save money for GPs and LPs and allow investors to better analyze their holdings and make wiser investment decisions.”

The AltExchange Alliance, a non-profit private equity industry group formed in 2012 and comprised of General Partners, Limited Partners and Service Providers, is chartered to define, maintain and promote a single data reporting standard. The Alliance has developed comprehensive reporting standards that provide transparency for critical private equity portfolio information. AltExchange published the Group One standard in December 2013, and the Group Two standard was released in February 2015, encompassing data definitions for Portfolio Company Metrics. The AltExchange standards are the product of a cross-industry working group that includes representatives from leading investment management firms, advisors and institutional investors.

The AltExchange XML file can be downloaded from the ILPA website. For more information, please visit the AltExchange website http://www.altexchange.com/ or contact Yves Damon, AltExchange Executive Director, at ydamon@altexchange.com.

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