The operating context for the private equity manager has completely transformed during the last decade and many firms are preparing to migrate their funds as a result.

Buyout firms are now managing US$4.7 trillion of assets and holding almost twice as many portfolio companies in their funds than in 2019, according to Bain & Company figures.

With the buyout industry operating on a completely different scale than 10 years, the demands on the buyout back office have inevitably intensified. This not just because GPs are now responsible for shepherding a larger number of funds, shepherding bigger portfolios, and executing a higher volume of deals. Managers also have to comply with higher investor and advisor demands when it comes to the granularity and timeliness reporting.

The evolution of deal structures, which now include co-investments and continuation vehicle transactions, have placed further workloads on private equity operations, as have the increasing use of fund finance and the growth of the non-institutional investor base.

Time for a change: when to migrate funds

The increasing complexity and sophistication of the private equity business means that buyout managers are now facing an operational inflection point, where the relatively simple operating infrastructure that has served the industry so well for so long now requires an upgrade.

Similarly, long-standing outsourcing partnerships, where outsourcers were only required to provide quarterly fund reports, could now also require a refresh.

It is in this context that a series of trigger points are emerging for buyout managers to take the leap and migrate funds. This is not a decision to be taken lightly – fund migrations are complex, demanding projects that can be at risk of costing more and taking longer than anticipated – but many private firms are now approaching a point where delaying a migration can’t be put off any longer.

Why managers migrate funds

• Poor service: As the demands on outsourcing partnerships have increased, there are more reports of private equity firms citing poor service delivery as a catalyst for migration. Fund administrators still running on legacy systems, using inflexible reporting templates and relying on manual processes have been unable to keep up with the reporting timelines and detail that private equity firms and their investors now expect. This in turn can lead to errors and delays. Managers will expedite migrations when incumbents can’t keep pace with evolving GP requirements, switching to administrators that have the tools and scale to stay ahead of increasing regulatory and reporting workloads.
• Provision of scale: Deteriorating service levels can often be boiled down to a question of scale. Private equity managers have seen huge increases in assets under management (AUM) and in many cases simply outgrow the capacity of incumbent providers and have to move on to providers that have the bandwidth to grow with a manager over time and handle rising transaction volumes and a wider array of fund structures.
• Keeping costs down: Private equity managers are facing the most challenging fundraising market since the 2008 financial crisis, with private equity fundraising down 17% year-on-year in H1 2025, according to PEI figures. It has been essential, then, for private equity firms to run fund operations as efficiently and cost-effectively as possible and delivering value for money for LPs. Indeed, a Preqin survey found that well over a quarter of managers (29%) see pricing and fee transparency as a key catalyst for changing fund administration provider.
• Up-tiering technology: The requirement to upgrade technology stacks and transition onto best-of-breed industry software packages will be a driver of fund migration for private equity managers, who are increasingly relying on fund administration partners to not only act as a provider of outsourced fund reporting services, but also a first point of contact for advice on the choice and implementation of technology. Preqin’s survey found that close to a fifth of managers change fund administrator because of technology.

How to choose a new fund administrator

The reasons that trigger a fund migration will also shape what a private equity manager wants from a new fund administration provider.

The ask will vary from manager to manager, depending on investor base, current gaps in in back-office operations, technology requirements and geographic footprint.

There are nevertheless a set of core themes that will inform fund administration selection in most cases:

• Asset class expertise: Experience and track record in private equity matter. GPs will expect their fund administrator to have deep private equity expertise. Geographic reach is also important. GPs want fund administrators to be close to the specific LP communication, reporting and fund structure preferences in all key global markets, and to have teams on the ground where investors are active.
• Exceptional technology and data capability: Technology is viewed as the single most valuable lever for making private equity back-offices more efficient and for meeting increasing investor demands. The sophisticated investors will have a firm working knowledge of the asset-specific software programs, including Allvue, eFront, Private Capital Suite (formerly Investran) and Yardi, and able to advise on the technology stacks suited to each client’s bespoke requirements. Managers also expect fund administrators to facilitate seamless integration and interoperability between the private equity firm’s core back-office infrastructure and third-party data providers. Fund administrators should also be able to implement cloud-native operating models, have an eye on the developments around self-service data for clients, and meet the highest cyber security standards and certifications.
• Operational model flexibility: A change of fund administrator also opens an opportunity for private equity GPs to review operating models, and to transition to an operating model that best serves long-term growth ambitions and technical requirements. GPs will favor fund administrators that can provide operational flexibility, whether that be through a classic outsourcing arrangement, a co-sourcing model or a lift out.
• Comprehensive regulatory knowledge: Keeping track of myriad regulatory developments across multiple jurisdictions has become increasingly challenging for private equity to sustain without support, especially for US managers operating in Europe and/or the United Kingdom. Managers are relying on fund administrators to be up to date on all key regulatory developments, range from the Alternative Investment Fund Managers Directive II (AIFMD II), Common Reporting Standard (CRS) and Foreign Account Tax Compliance Act (FATCA) to the Sustainable Finance Disclosure Regulation (SFDR), The General Data Protection Regulation (GDPR). Automated regulatory reporting and compliance is also becoming a more common ask, as managers look for ways to lighten the regulatory compliance burden.
• Service excellence: Responsiveness and service excellence are a must for all GPs, who are now drafting detailed service level agreements (SLAs) with trackable key performance indicators (KPIs) around processing times and reporting accuracy. The best administrators will understand each client’s context and proactive when it comes to addressing client requirements.

A long-term partnership

When undertaking a fund migration, a private equity manager will want the relationship with a new fund administrator to be a long-term one. It is not in GP or LP interests to be constantly having to migrate funds.

As a fund administrator operating at scale Alter Domus has the resources and private equity-specific expertise to grow with clients, maintain excellent service levels and keep client platforms updated with the latest technological tools. We employ 6,000 professionals across 23 jurisdictions and administer US$3.5 trillion of assets and 36,000 client structures.

We have the scale, technology and industry knowledge to not only facilitate smooth fund migrations that cover the shifting requirements of the modern private equity manager but also put platforms and relationships in place that last for the long-term.

CFOs and COOs in private markets face a growing challenge: meeting investor demand for access and yield while safeguarding operational resilience. Structured vehicles — particularly Collateralized Fund Obligations (CFOs) and Rated Note Feeders — have become powerful tools for broadening distribution and optimizing capital structures.

But with opportunity comes operational and governance complexity. The question is not only whether these vehicles can be launched, but whether they can be run with the rigor investors, auditors, and regulators now expect. The answer often hinges on the choice of the collateral and fund administrator — and whether they can provide the control, transparency, and scalability leadership teams require.

Collateralized Fund Obligations (CFOs)

CFOs transform pools of private market fund interests into multi-tranche vehicles, offering investors differentiated risk-return options. For CFOs and COOs, they bring both opportunity and exposure.

Rated Note Feeders

Rated Note Feeders offer a scalable way to open private market strategies to yield-seeking institutions such as insurers. But they bring challenges that land squarely on the desks of CFOs and COOs.

Alter Domus: Our structured vehicle expertise  

For finance and operations leaders, the choice of fund administrator is ultimately about control, credibility, and scalability. The strongest partners bring depth of expertise in structured vehicles like CFOs and rated feeders, combined with breadth across the wider private markets ecosystem — commingled funds, co-invests, SMAs, and SPVs. This breadth matters: it allows CFOs and COOs to consolidate providers, reduce operational fragmentation, and ensure consistent governance across all fund types.

The right administrator also provides confidence that every process — from cash allocation to reporting — can withstand investor, auditor, and regulatory scrutiny. They invest in technology to minimize manual intervention, deliver transparency that strengthens investor relationships, and act as proactive partners in anticipating risks before they materialize.

CFOs and COOs today are not simply managing back-office operations; they are responsible for safeguarding investor trust and enabling their firms to scale. Structured vehicles such as CFOs and Rated Note Feeders magnify both the opportunity and the operational risks of private markets.

Why consider outsourced fund administration

As a COO or CFO of a wealth manager, multi-family office, or OCIO, you carry a responsibility that extends well beyond numbers. You’re not just managing books—you’re safeguarding a family’s legacy, ensuring operational resilience, and giving principals the confidence that their capital is stewarded with precision. That mandate has only grown more complex.

Expanding into direct deals, private credit, real estate, and cross-border structures means you’re expected to deliver institutional-grade reporting, governance, and controls—often with lean teams and finite resources. It’s a balancing act: meeting rising operational demands while protecting the office’s agility and focus. This is exactly where an outsourced fund administration model becomes invaluable.

Why outsourced fund administration fits the wealth manager, multi-family, and OCIO office model

Outsourcing isn’t about relinquishing control—it’s about fortifying your operational backbone so that you can focus on higher-value work. A trusted fund administrator brings:

• Accuracy and independence – Third-party validation of NAVs, cash flows, and performance ensures credibility with stakeholders.
• Scalability – As the family invests in new strategies or regions, outsourced infrastructure flexes with you.
• Technology advantage – Purpose-built platforms for data management, accounting, reporting, and investor visibility—without the heavy lift of implementation or maintenance.
• Efficiency – Offloading data feeds, document management, reconciliations, financial preparation, audit management, and compliance tasks frees your time for strategic planning and governance.
• Credibility – Enhances your standing with advisory clients, auditors, partners, and institutional co-investors by demonstrating best-practice operations.

What sets Alter Domus apart as an outsourced or co-sourced solution

For COOs and CFOs of wealth managers and multi-family offices, partnering with Alter Domus means strengthening your operational backbone without losing control. Our model is built to meet the rising demands of complex investment offices while safeguarding the agility and stewardship your principals expect.

• Knowledgeable staff – Our teams bring deep experience in IBOR and ABOR reporting, as well as NAV calculation, cash flow management, and investor reporting. Whether working within our licensed systems or those licensed by your firm, we ensure that operations run smoothly and in full compliance.
• Service level agreements: We commit to aggressive SLAs that ensure timely, accurate posting of data across portfolios, enabling you to meet reporting deadlines with confidence. That reliability frees your office to focus on value-add initiatives like strategic allocations, family governance, or new market entry.
• Thought leadership: We don’t just administer funds; we help shape back-office strategy. Our specialists assess your operational set-up and advise on process redesign, technology choices, and efficiency measures – helping you protect long-term advisory fees and build resilience as your family office grows in complexity.
• Built for alternatives: Alter Domus was created to serve private capital. From private equity and venture to private debt, infrastructure, and real estate, we understand the nuances of alternative assets and how to integrate them into family portfolios. That expertise ensures your reporting, governance, and investor communications reflect institutional-grade standards.
• Global scale with local relevance: With more than 6,000 professionals across 23+ jurisdictions, Alter Domus delivers the reach and regulatory expertise of a global leader. Crucially, we know how to apply that scale to the needs of smaller wealth managers and multi-family offices—bringing institutional-grade processes, controls, and insights to leaner teams without overburdening them.
• Technology advantage: Our purpose-built platforms reduce manual processing, harmonize data feeds, and deliver investor-ready reporting. For offices running lean teams, this alleviates the burden of system implementation and ongoing maintenance, while ensuring transparency and auditability.
• Operational assurance: From capital calls and waterfall allocations to audit coordination and compliance checks, we provide institutional-grade rigor. That strengthens your credibility with auditors, trustees, and co-investors—key for offices balancing family dynamics with professional governance.
• Flexible engagement models: Whether you want a traditional outsourced solution, a co-sourced arrangement where you retain data ownership, or even a lift-out of existing in-house teams, Alter Domus tailors its approach to preserve continuity while enabling scale.

What this means for COOs and CFOs

As a COO or CFO, you sit at the heart of your company’s success. You’re tasked with ensuring both operational excellence and strategic foresight. We see what your peers are doing and understand which processes work.

In today’s complex landscape, outsourcing fund administration is not about giving up responsibility—it’s about giving yourself the tools, expertise, and confidence to meet the family’s needs today and for generations to come.

Private debt has encountered explosive growth as an asset class in recent years. The industry started out 2024 with $1.5 trillion in assets under management, up from $1 trillion in 2022, according to Morgan Stanley. 

As direct lenders and broadly syndicated loan managers seek to grow their funds and returns alongside this industry growth and investor demand, the burden of their fund operations can begin to have an effect on their success. 

This is especially the case with loan agency operations, known for their intense level of work across complex credit investments at high quantities.  

Under these industry conditions, using a loan agent becomes much more appealing for many managers, and firms who already depend on a third-party loan agent may look to increase their outsourcing or select a new provider that more closely meets their needs. 

To understand more about loan agency and how a good loan agent operates, read on. 

What is a loan agent?

In the credit and private debt space, a loan agent is the party that facilitates all ongoing operations required to adhere to the loan terms and liaises between the lenders and counterparties to do so. Tasks that are central to loan agency include: 

• Calculating a loan’s interest over time 

• Coordinating loan and interest payments between multiple lenders and counterparties 

• Sending loan communications between lenders and counterparties 

• Engaging outside parties like lawyers or fund administrators to move along loan operations 

There are a few different kinds of loan agents depending on a lender’s needs or depending on the nature of the loan: 

Administrative agent 

A lead administrative agent, or a named agent, fully represents the lender on the loan and is named in documents as the administrative agent. By taking this lead administrative agent role, the partner takes over all loan agent responsibilities from the lender. 

Sub agent  

The sub agent role exists for lenders who want to take the lead role in the loan agency process and be listed as the lead agent on their own deals. For the behind-the-scenes responsibilities that they hope to outsource, they would work with a sub agent who is not named on the loan but handles elements such as payment distribution and managing interest rates. 

Successor agent 

A successor agent steps in when the administrative agent resigns or is replaced, a situation that frequently arises in restructuring scenarios and liability management exercises (LMEs). This change can disrupt the smooth administration of a credit facility and potentially delay the LME or restructuring process. Acting as a neutral third party, the successor agent ensures a seamless transition, aligning the goals of all involved parties and facilitating a the swift progression of the constituents’ objectives and desired outcomes. At Alter Domus, we’ve served as successor agent on many high-profile LME and restructuring deals such as Amsurg, Apex Tool, Boardriders, Brightspeed, Revlon, Trinseo, and Wheel Pros, among many others. 

What to look for in a loan agent

While lenders can insource loan agency responsibilities, many choose to outsource some or all of this imperative, labor-intensive fund operation. By outsourcing these responsibilities to a loan agent, lenders benefit from tighter headcount in their operational teams and the close attention and expertise of teams specifically focused on all aspects of the loan agency process. 

But not all loan agents are created equal. Loan agency involves painstaking and bespoke work to carry out the terms of a loan over the multiple years of its life. When evaluating partners to serve as a loan agent, here are some key elements to help decide if they’re up for the task:

1. A balance of bespoke expertise and ability to scale operations 

As the direct lending and BSL spaces grow and managers hone their strategies along with that growth, more complex loan terms and transactions emerge. It’s encouraging to see our industry mature in this way, but it does make for more complex fund operations, particularly on the loan agency side.  

For a loan agent to work effectively, they need to have direct and deep expertise in these bespoke strategies and debt vehicles. At Alter Domus, we pride ourselves in operating at the intersection of bespoke expertise and high volume. Our servicing teams are segmented out by asset class expertise and work cohesively for an end-to-end approach, as opposed to the siloed operations of our competitors. We have the experience and the team size to achieve the balance needed for fickle loan agency challenges. 

2. Technology-enabled service 

Loan agency services may take plenty of time, attention, and expertise from your provider, but it’s also crucial that your provider has capable technology underpinning their loan agent duties. When a provider relies too much on manual processes in administering loan agency, their lender client absorbs the high risk of error.  

At Alter Domus our loan agency teams rely on our proprietary software platform Agency360 to service our direct lender and BSL clients. There are key benefits to relying on a proprietary tool for these needs. These loan services benefit from key advantages of using a proprietary tool – for example, we control the updates and maintenance of the tool ourselves rather than relying on software from a third party. We also avoid having to pass along rising fees from a third-party platform. 

A reliance on powerful technology should also extend to the client experience. When outsourcing loan agency operations, lenders should still have a view into the service they’re receiving and a 24/7 ability to access their loan data and reporting. A third-party loan agent should offer a tech-enabled and convenient way to check in on their operations and download relevant reporting. 

At Alter Domus, we offer Agency CorPro as a home base for our clients. The proprietary portal platform serves as our purpose-built solution to exchange sensitive asset information and important loan documentation between our teams. That means our work is available to you at all times in a self-service fashion. 

3. Breadth of loan agency and other middle and back-office service capabilities 

An ideal loan agent should offer additional services throughout the loan lifecycle to support your operations. By placing multiple outsourced needs with the same firm, your teams can benefit from a more holistic data and technology experience. 

At Alter Domus, we’re experts in private debt and BSL, and cover the full range of credit middle office services for these asset classes, from loan servicing to fund administration to borrowing base administration. We know that every operational model is different at each firm, and we are able to customize our services and delivery model to any setup your firm prefers, including outsourcing, co-sourcing and managed service models. 

Optimize your loan agency operations with Alter Domus Agency Services 

As a top provider in the market, Alter Domus’ Agency Services offering meets all these needs and more. Our servicing teams are trained specifically in bespoke credit vehicles and are large and experienced enough to handle high volumes of loans. In fact, our peak seasons see us processing more than 100,000 payments in a single day. 

Ready to see what Alter Domus can do for your loan agency needs and beyond? Learn more about Alter Domus’ Agency Services here. To speak with our Agency Services team about how our services can help your middle- and back-office operations, contact us here.