White-label funds are becoming an increasingly popular method for financial institutions, asset managers, and advisors to offer specialized and customized investment products.
What are white-label funds?
Super Global, as a Capital Management Company (AIFM), offers a unique form of investment fund known as white-label funds. White-label funds allow clients to offer tailored investment solutions without the need to establish their own fund management company. This allows companies to benefit from the advantages of the investment business without having to bear the costs and complexities associated with operating their own fund management company.
The term “white-label funds” is used synonymously with “private-label funds“.
Why are white-label funds attractive?
Developing and managing investment funds requires significant resources, regulatory compliance, and expertise in administration and management. With white-label funds, financial institutions and asset managers can avoid these costs and focus on their core competencies, such as asset management.
Faster Market Entry
Launching one’s own investment fund can take months or even years. In contrast, white-label funds can be brought to market more quickly because fundamental regulatory and administrative requirements are already met.
The asset manager can tailor the fund to meet the specific requirements and preferences of the brand. This may include the selection of investment strategies, risk profiles, and even customization of fund design.
By outsourcing fund management to a KVG (Capital Management Company), financial institutions and asset managers can more efficiently allocate their internal resources and focus on other critical aspects of their business.
Reduced Operational Risk
Outsourcing back-office tasks and administrative functions to a service KVG reduces operational risk.
Overall, partnering with a service KVG and establishing a white-label fund provides the opportunity to expand product offerings, enhance efficiency, and benefit from the expertise and experience of a specialized service provider.