Private Market Fund Managers Face Data, Technology, and Talent Challenges: CSC Study Reveals Key Insights

Yahoo

30-04-2025

Nearly half of LPs are dissatisfied with current performance reporting levels.
74% of LPs expect live or daily portfolio performance updates.
50% of GPs plan to invest in AI to boost efficiency and decision making.
WILMINGTON, Del., April 30, 2025--(BUSINESS WIRE)--Adopting advanced technology solutions, meeting rising data demands, and navigating talent shortages are among the top challenges faced by private market fund managers, according to a new study by CSC, the leading provider of global business administration and compliance solutions.
CSC's study, Future Private Capital CFO 2025: Transforming Challenges into Opportunities, revealed that data quality and accessibility remain top concerns for limited partners (LPs). Almost half (44%) said that they are not receiving the level of detailed performance reporting, including investment-level data, necessary for informed decision-making.
Nearly three-quarters of LPs expect daily or on-demand access to key fund data, with 74% calling for this level of reporting on portfolio performance, and 72% seeking it for operational SLAs like NAV deadlines.
Technology is a major focus for LPs, with investor portal technology ranked globally as the biggest frustration when working with GPs (cited by 35%). This was closely followed by timely and accurate communication (27%) and data granularity and analytics (11%).
Liam McHugh, managing director, European Fund Administration, CSC, commented, "There are many obstacles to the GP and LP relationship, but several can be avoided by working with the right platform and portal technology. Get the platform right, and you can get things like the data right. And if you get the data right, other areas, such as regulation, can become far easier to accommodate and capitalize on."
The emphasis on technology is echoed by GPs, with both technology and operating systems identified as having the greatest impact on their day-to-day responsibilities.
In response, almost two-thirds (63%) of GPs reported plans to expand their technology frameworks. Additionally, 50% are investing in AI to enhance efficiency, data management, and decision-making processes.
Hiring and retaining skilled professionals is another widespread challenge, with 39% of GPs ranking it as their top concern over the next three years. The competition for experienced talent is particularly intense in fund management, compliance, and administration roles.
Marshall Saffer, managing director, Funds and Capital Markets, CSC, notes, "One of the biggest hurdles encountered by fund managers is streamlining data management, including centralizing and rationalizing the data they need to store. Many firms struggle to find the internal resources to handle this effectively. That's where CSC steps in, offering seamless support for administration, governance, and reporting requirements in a fully integrated technology environment."
With operational complexities increasing, outsourcing has emerged as a key strategic priority. More than half (51%) of GPs plan to expand outsourcing efforts to drive growth, and 70% of LPs indicated that working with reputable global service providers would positively influence their perception of fund GPs.
McHugh adds, "Technology now plays a central role in discussions between GPs and LPs, far more than it did five or ten years ago. As regulatory complexities increase and investor expectations evolve, firms that integrate advanced technology solutions and strategic outsourcing will maintain a competitive edge in 2025 and beyond."
To receive a copy of CSC's Future Private Capital CFO 2025: Transforming Challenges into Opportunities report, contact us at [e-mail].
1CSC, in partnership with Pure Profile, surveyed 300 GP and 200 LP senior fund professionals operating in Europe, the U.K., North America, and Asia Pacific to better understand their aspirations and challenges for 2025 and beyond. Respondents were equally split between North America, Asia Pacific, and Europe (inc. U.K.).
About CSCCSC is the world's leading provider of business administration and compliance solutions, offering industry-leading expertise and unmatched global reach to alternative fund managers and capital markets participants. Leveraging deep institutional experience and a tailored approach, CSC delivers a comprehensive suite of fund administration, trust, agency, and compliance services to support a wide range of private and public market transactions, complex fund strategies, and scalable operations.
As the trusted partner of choice for more than 70% of the PEI 300 and 90% of the Fortune 500®, CSC helps clients navigate operational and transactional complexities across more than 140 jurisdictions and various asset classes. With extensive worldwide capabilities, our expert teams provide solutions tailored to each client's needs. Privately held and professionally managed since 1899, we combine global reach, local expertise, and innovative solutions to help our clients succeed.
We are the business behind business®. Learn more at cscglobal.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250430162117/en/
Contacts
For more information: Citigate Dewe Rogerson Thomas [e-mail]
CSC Laura CrozierPR [e-mail] CSC News Room