IQ-EQ, a global investor services group offering end-to-end services in administration, accounting, reporting, regulatory and compliance needs of the investment sector, was named European Administrator of the Year at the Funds Europe Awards 2024.
Judges recognised the firm’s steady growth and evolving capabilities over the past two decades. The company has expanded not just in size but in expertise, making strategic hires and broadening its services beyond a traditional focus on alternatives, they noted. With a strong track record of innovation and client focus, the firm is well-positioned for continued development in the years ahead, they added.
Justin Partington, global head of fund and asset managers at IQ-EQ, is responsible for leading IQ-EQ’s global offering for alternative asset managers across all its jurisdictions, encompassing central administration, accounting, AIFM and depositary services, compliance and other services. He talks about the company’s evolving role in fund administration and compliance, technological advancements, and commitment to governance as it navigates an increasingly complex regulatory landscape.
What factors do you see shaping the future of compliance and fund administration in 2025?
Bain & Company highlights in a survey that individual retail investors, who hold approximately 50% of the world’s total assets under management (AuM), are poised to be the next major growth engine for private markets. These investors currently account for only 16% of the AuM held by alternative investment funds – a gap that can be partly attributed to regulatory constraints. However, the introduction of LTAF and Eltif 2.0 is redefining the landscape.
As more retail investors enter alternative markets, fund administrators need to prioritise robust technologies and systems, and target operating models to support evergreen funds. Technology adoption might include online KYC and e-onboarding solutions to revolutionise the investor journey and control costs; transfer agency and accounting platforms that can handle open-ended private markets funds; and effective data management strategies enabling general partners (GPs) to draw from a modern data platform, enhancing decision-making and streamlining operations as well as mitigating regulatory exposure.
How do you see client needs evolving in the private equity space?
In the current macroeconomic environment, private equity firms are experiencing a significant shift in the balance of power between limited partners (LPs) and GPs. This has led to an increase in the use of side letters, creating operational and administrative challenges, particularly around reporting and compliance. To manage this complexity, private equity firms must invest in advanced systems that offer comprehensive tracking and reporting capabilities.
How does your commitment to governance, as outlined in your latest sustainability report, ensure long-term resilience in an increasingly regulated and sustainability-focused industry?
IQ-EQ’s Sustainability Report outlines how the longevity of our business across all jurisdictions depends on a robust global governance framework and culture of accountability. Investing heavily into our ‘Roadmap to Excellence’ has helped us deliver a consistent, scalable and pragmatic risk and compliance framework, enabling agile responses to future needs for enhancements and regulatory change.
We’ve also been placing significant focus on our regulatory compliance service offering to aid our clients’ governance, with expert compliance consulting teams located worldwide and a range of specialist services including Appointed Representative (AR) regulatory hosting in the UK and fully licensed AIFM platforms in the UK, Ireland, Luxembourg and France.
Finally, what makes your firm stand out?
IQ-EQ delivers the most complete suite of services to private markets asset managers globally. We also invest heavily in technology and product/service development to ensure we continue to improve and better meet our clients’ needs. We innovate according to market trends, upcoming regulatory developments, new technologies and proactive client listening to ensure our offering evolves in line with what our clients require both now and into the future. Most importantly, our brilliant team of private markets experts operating since 2004 bring to our clients a deep pool of knowledge and best practices.
Pairing best-in-class technology solutions (including proprietary platforms) with our in-house experts globally allows us to deliver a highly sophisticated, unparalleled experience to our growing client base in an increasingly complex operating environment.
