Objective’s analysis is a comprehensive, professional and an independent evaluation of the fund, designed to assist investors in the process of investment decision-making. The analysis analyzes all aspects of the fund and reviews its various characteristics. Each investor can be assisted by the analysis and use it to substantiate an investment decision.
To perform the analysis, Objective’s team obtains a large number of materials from the fund, including, inter alia, questionnaires, presentations, private placement memorandums (PPMs), quarterly reports administrator reports, and uses external information systems for market and returns analyses, etc.
For investors electing to make an investment, Objective continues to monitor the fund and issue an annual analysis that reviews its condition. Moreover, Objective initiates meetings with the fund’s representatives, both prior to the investment and throughout the fund’s life cycle.
Key Tools Used to Prepare an Analysis
Assessment and Analysis Model
Investment Mapping Questionnaire
Content Gathering and Access to the Data Room
Meeting with the Funds
Broad Professional Knowledge and Practical Experience
The analysis structure described below is a permanent format to which Objective adds layers and makes adjustments according to the characteristics of each fund.
Analysis throughout the Investment Life Cycle
For those investors who decide to make the investment, Objective will continue to regularly monitor the fund and produce an annual report based on the enhanced pre-investment analysis and changes that actually occurred in the fund compared to planning. The annual report contains, among others, changes in the fund’s structure, a report on investments actually made and their impact on the fund’s return, an update on market changes that occurred during the period, and the realization of risks, if any risks occurred and new risks are added. The annual report allows the investor to obtain a complete and reliable picture and remain updated on his investments.
Alternative Investment Consulting
Objective provides advice services tailored to the investor’s needs, including attendance at Investment Committee meetings and presentation of opinions, reviews, recommendations and reports.
Objective offers several consulting services in the scope of alternative investments:
- Customized Consultation – Objective’s consultation service includes meetings with the investor, analyzing the investor’s alternative investment portfolio, in which an overview is provided, inter alia, of the alternative investment portfolio, along with personally tailored recommendations.
- Presentation of Alternative Investment Fund – Objective will provide an overview of a particular analysis, comprehensive explanation and advice on the fund’s suitability to the investor’s needs. Objective’s wide-ranging analysis of the alternative investment will enable the investor to decide whether to include it in the general investment portfolio and to what extent.
- Alternative Investment Knowledge-Base – A broad overview of all current funds raising capital in the market, focusing on different categories (hedge funds, real estate funds, infrastructure funds, credit funds and others) according to the investor’s requirements. With this information, the investor can obtain a broad picture of those funds that are relevant to him, and if he is interested, he will initiate an analysis of the fund he wishes to explore. This service enables the investor to make better-reasoned decisions.
External Operational Control
The internal process of investment operations of alternative funds is carried out manually, as opposed to the tradable investments for which data are recorded in the bank’s systems based on regular reports from the stock exchange. The investor also carries out the operational aspect of the investment, according to instructions and reports provided by the fund’s administrator (e.g., the number of units held by the investor, money at call, holdings value). Some investors do not maintain control of the activities of their Operations Department and their bank as they operate under heavy load and difficulties in maintaining control of all aspects of the investment.
Objective’s controls are secondary controls of the alternative investment activities of the investor Operations Department and the bank. Objective provides a quarterly service of control of the appropriateness of the alternative investment portfolio data, which includes identification of failures & monitoring activities in all aspects: security definition, financial movements, revaluation of assets, returns and management fees and verifying the correctness of the data in the funds’ reports.
Types of Controls:
- Monitoring and overseeing the revaluation of the invested funds.
- Appropriate controls to ensure that periodic reports and regular updates are complete, accurate and up-to-date, which are used as a basis for revaluation of the investment funds.
Our control services will focus on the following:
- Definitions of a Security – verification of correctness of asset classification.
- Financial Movements – evaluation of the correctness of execution of financial orders.
- Revaluation of Assets – comparison between the actual results of the revaluation and the funds’ statements.
- Returns – verification of the calculation of funds returns.
- Management Fees – control of management fees in accordance with valid agreements.
The control is based on the following data:
Email correspondence, quarterly reports and historical data regarding alternative investment funds from the investment house and the operating bank.