CHICAGO, Sept. 5, 2012 /PRNewswire/ -- Envestnet, Inc. (NYSE: ENV), a leading provider of technology-enabled wealth management solutions for investment advisors, has announced a Hedge Fund Research Alliance with Fund Evaluation Group, LLC (FEG), the institutional investment consulting firm noted for its hedge fund research and due diligence. The Research Alliance complements the leading research on separate account managers, mutual funds, ETFs and liquid alternative investments on the Envestnet platform, powered by Envestnet | Prima.
As part of this partnership, advisors will have access to research and due diligence reports on more than 40 hedge funds and hedge fund-of-funds that are covered by FEG. The research will be available on the Envestnet platform. Advisors will be able to leverage research reports and information that include manager and strategy overviews, fund terms and service providers, historical performance and exposure detail. Advisors will also get access to quarterly monitoring reports including quantitative analysis and commentary on quarterly performance and organizational updates.
"This partnership is the natural progression of Envestnet's commitment to providing advisors with a better way to manage wealth," said James Patrick, Managing Director, Advisor Managed Programs, Envestnet. "FEG is leading the movement to democratize investing in hedge fund strategies and we believe their research and due diligence process complements and enhances the solutions on our platform."
Hedge fund due diligence is performed by FEG's research team in accordance with its rigorous process, which includes on-site meetings, operational due diligence, third party service provider verification and multiple reference checks. FEG also provides ongoing monitoring of hedge fund managers via performance analysis, risk monitoring, position level monitoring, quarterly conference calls and face-to-face meetings to verify the manager's continued ability to deliver excellence.
FEG advises on approximately $33 billion* in assets for institutional clients and has more than $3 billion* allocated to hedge fund managers via direct investment from their clients as well as discretionary access vehicles. Over its 24-year history, FEG has developed a strong network of investment managers, investors, service providers, and peers that provides an informational edge in navigating the hedge fund industry. Hedge fund due diligence combines both quantitative analysis of performance and risk characteristics and a qualitative assessment of managers based on a proprietary six-tenet scoring system.
* As of 6/30/2012
ABOUT ENVESTNET (NYSE: ENV)
Envestnet, Inc. (NYSE: ENV) is a leading provider of technology-enabled wealth management solutions to investment advisors. The Envestnet Advisor Suite® software empowers advisors to better manage client outcomes and strengthen their practice. Envestnet offers advanced portfolio solutions through its Portfolio Management Consultants Group, Envestnet | PMC®. Envestnet | Tamarac provides leading rebalancing, reporting and practice management software. Envestnet | Prima provides institutional-quality research and due diligence on investment and fund managers. Envestnet | Vantage® gives advisors an in-depth view of clients' investments, empowering them to give holistic, personalized advice.
For more information on Envestnet, please visit www.envestnet.com.
Jami Schlicher, JCPR
ABOUT FUND EVALUATION GROUP, LLC
Fund Evaluation Group, LLC (FEG) provides investment consulting, portfolio management, and research services, to institutions and financial advisors. Established in 1988, the independently-owned firm has approximately $33 billion in total client assets under advisement (as of 6/30/2012).
For more information on Fund Evaluation Group, please visit www.feg.com.
Alan Lenahan, CFA, CAIA
Hedge Funds/Alternative Investments may have complex terms and features that are not easily understood and are not suitable for all investors. You should conduct your own due diligence to ensure you understand the features of the product before investing. Alternative investment strategies may employ a variety of hedging techniques and non-traditional instruments such as inverse and leveraged products. Certain hedging techniques include matched combinations that neutralize or offset individual risks such as merger arbitrage, long/short equity, convertible bond arbitrage and fixed-income arbitrage. Leveraged products are those that employ financial derivatives and debt to try to achieve a multiple (for example two or three times) of the return or inverse return of a stated index or benchmark over the course of a single day. Inverse products utilize short selling, derivatives trading, and other leveraged investment techniques, such as futures trading to achieve their objectives, mainly to track the inverse of their benchmarks. As with all investments, there is no assurance that any investment strategies will achieve their objectives or protect against losses.
SOURCE Envestnet, Inc.