FI Helps FCP Proactively Manage Their Assets
The Asset Management System supports improved decision making and a proactive approach to asset management. In addition, it pays for itself in time saved on reporting within two years.
Client: Federal Capital Partners (FCP)
Challenge: The FCP process for managing assets was labor intensive and did not allow for a holistic view of a fund’s assets. The structure of the models was inefficient and not consistent, which prevented them from conducting timely roll-up analysis of the portfolio. Furthermore, the process did not lend itself to frequent and accurate forecasting for each property in the portfolio, easy capture of operating statements, or synthesis of information across properties. FCP was not in a position to increase its holdings without a solution to its asset management problems.
FI Solution: FI worked closely with FCP to understand the pain points of their current process to design a custom automated solution that would leverage FCP’s existing infrastructure, and allow for timely and accurate portfolio reporting which allowed them to effectively monitor their portfolio.
The solution FI developed, the AMS, enables the client to quickly and easily update assumptions of the forecasting models and produce model results. FI also developed reports to roll-up model outputs to immediately provide analyst’s with critical portfolio performance information. The AMS is comprised of customized model structures for each asset class in the portfolio, including: Multifamily Development, Condo Development, and Manufactured Housing. The various models are designed to allow for the outputs to easily be rolled together and evaluated at a deal or fund level. The solution also provides workflow around submission and approval of property operating statements and budgets, forecasting of returns on investment, deal management, and reports needed to support these functions.
FI Impact: The Asset Management System (AMS) FI Consulting developed for FCP supports improved decision making by providing insights through scenario analysis. It frees up analysts’ time allowing them to focus on proactively managing the funds’ assets.