Transparency in investment management
Transparency is more important than ever in the world today. It provides access to information that does not change with regard to the viewpoint or the personality of the broadcaster. Many modern companies use BI systems in their daily activities, but it is very rare for investors to plunge into these systems. In the best case, they are reviewed once at the due diligence stage and later reduced to simple reporting forms such as an excel spreadsheet. Even if the investor’s representatives have access to the BI system of their portfolio company, the information requires system updates and data analysis, and only works effectively when this process is automated.
BI systems – a segment of products for the analysis of large volumes of information in order to translate transactional business information into a human-readable form. The result of the analysis is traditionally for the purpose of business decision making.
BI systems solve two main tasks:
Analytics. These systems allow you to work with data, extract it, transform it, identify trends, and dependencies.
Reporting. The task of such systems is to collect and present the available information. Usually, BI systems are used in investment activities, offering a convenient tool for data visualization.
Our goal with #AIRR was to simplify and automate all business processes related to direct investment management. This is the most opaque and least understood area of investment management. A significant part of these business processes is related to the monitoring of the investment portfolio. Information presented in a visual format is more effective than the flow of figures and text, it is understood much more easily and saves a lot of time when making important operational decisions. The visualization of investment process data, and especially the business and financial performance of portfolio companies, save time for the investor. It also helps portfolio companies skip unnecessary bureaucracy when it comes to information exchange with investors. As a result, an additional level of transparency, reliability, and timeliness of information is created.
WHAT DO YOU GET?
- Transparency and trust due to a lack of manipulation possibilities
- Time-saving for all participants of the investment monitoring process
- Ability to respond quickly to any changes in current finances and other operating metrics
https://blog.theairr.com/2020/10/27/bi-in-investment-management/
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