By Kathryn Gaw
See below for excerpts from a recent Alternative Credit Investor feature. Read the full article HERE.
Broadly syndicated loan (BSL) data flows have been deemed “inefficient”, with some private credit firms still relying on emails, pdfs and faxes to manage fund data.
Cynthia Sachs, chief executive of data company Versana, has warned that private credit fund managers risk delays by maintaining outdated data systems which could struggle to keep up with rising demand from investors.
“Right now, the way data flows in the BSL market is inefficient,” says Sachs.
“There’s a lot of emailing and faxing, and scraping of those emails and faxes. There are a lot of different events that are happening with the borrower that then ultimately need to be communicated down to the lenders in the syndicate. Right now, that’s being done through email and faxes, and there are a lot of delays, and a lot of errors. There’s a lot of missing information that happens because the process is somewhat antiquated.”
