Viteos, known predominantly as a fund administrator and operations support provider for hedge funds, has expanded its operations, accounting and reporting services to family office RIA firms.
The firm is now providing support to asset managers in the RIA space, including family offices, according to Jonathan White, head of business development for Viteos. Viteos was founded in 2003.
A lot of family offices are looking for ways to outsource tasks like data aggregation, reconciliation and valuation. The aim is both to reduce costs and provide accurate and reliable reporting. And most family offices want this on a daily basis, according to White.
The idea is to bring some of the fund administration model into the family office model, White says. Family offices may initially say they’re just interested in reporting, but “good reporting comes from the accounting function,” White said.
Costs will vary from firm to firm, but for a solution that includes outsourcing of accounting, operations, recording, reconciliation and reporting, the range might be somewhere in the $120,000 to $150,000 a year. To understand the cost, firms can put that into perspective of outsourcing versus the cost of building those functions in-house, White said.
Danielle Reed writes for Financial Planning.