M&A exposure Strata Fund Solutions was acquired by Alter Domus in February 2021 for a deal that signaled consolidation in the alternative asset services space. This suggests potential clients may be looking for robust post-acquisition integration, transition support, and scalable administration as they grow and consolidate providers.

Growth capital FT V Capital invested in Strata in 2018, indicating a history of growth trajectory and capital backing. This background can be leveraged to discuss scalable technology upgrades, expanded reporting capabilities, and enhanced service levels to attract funds seeking modern, well-funded administration partners.

Boutique scale With 11-50 employees and a focus on hedge funds, private equity, funds of funds, and managed accounts, Strata represents a high-value, boutique alternative asset administrator. Prospects can be targeted for personalized service, advanced shadow accounting, and tailored due diligence operations that larger firms may underperform.

Tech-forward Strata highlights combining skilled personnel with cutting-edge technology and offers services like NAV calculation, shadow accounting, and tax compliance. This presents opportunities to upsell modern reporting, automation tools, and integrated data analytics to improve efficiency and accuracy for funds facing complex structures.

Expansion potential Given the firm’s ability to handle complex vehicles and structures and the interest from larger acquirers, there is potential to position Strata as a cost-effective, strategic partner for fund launches, operational due diligence, and ongoing administrator services for expanding funds and new fund vehicles seeking reliable governance and reporting.