Chasing Alpha In The Pursuit of Alts

How State Street is developing new alternative fund structures

March 11, 2014- BOSTON–(BUSINESS WIRE)–State Street Corporation today announced the appointments of two senior executives to its Alternatives Investment Solutions’ (AIS) North American Private Equity Fund Services team. Suresh Krishnamurthy and Cesar Estrada, both senior managing directors, will lead teams dedicated to servicing alternative fund of funds, limited partner, direct and hybrid structures. They will report to Bhagesh Malde, head of private equity and real estate fund services for North America and Asia Pacific.

“The search for alpha, increased demand for transparency, risk management, real-time latency issues and regulatory complexity are putting pressure on alternative asset managers,” said Malde. “Continued growth for direct and hybrid private equity funds requires an outsourcing provider with broad expertise. We’re focused on providing dedicated teams and sophisticated data and analytics tools to help managers satisfy these growing demands, boost performance and manage risk more effectively. Cesar and Suresh’s teams will focus on supporting our clients as they adapt to this changing environment.”

Looking for the edge

State Street’s recently released report, “Chasing Alpha: How Data and Analytics Help Alternative Asset Managers to Outperform the Pack” surveyed 81 alternative asset managers and examined how they are investing in advanced data and analytics capabilities. The report found that although 71 percent of alternative asset managers agree that leading-edge data and analytics capabilities will be among the most important competitive advantages in the future, only 31 percent obtain an advantage from their data today.

Suresh Krishnamurthy, who joined State Street in 2003, will assume the role of head of the private equity and real estate fund of funds (FoF) and limited partner (LP) services, North America. In this role, he will be responsible for continuing and expanding existing client relationships as well as implementing a global FoF and LP Administration and Analytics services model.

The search for alpha, increased demand for transparency, risk management, real-time latency issues and regulatory complexity are putting pressure on alternative asset managers

Cesar Estrada joined State Street in February as the head of private equity, directs and hybrids, North America. He will be responsible for the management and expansion of existing client relationships and defining, implementing and promoting the direct and hybrid operating models globally. Cesar has more than twenty years of global experience and joins State Street from J.P. Morgan, where he served as a managing director and head of private equity fund services product.

To view the report, please click here.




About State Street Corporation

State Street Corporation (NYSE: STT) is one of the world’s leading providers of financial services to institutional investors including investment servicing, investment management and investment research and trading. With $27.4 trillion in assets under custody and administration and $2.3 trillion in assets under management* at December 31, 2013, State Street operates in more than 100 geographic markets worldwide, including the U.S., Canada, Europe, the Middle East and Asia. For more information, visit State Street’s web site at

* This AUM includes the assets of the SPDR Gold Trust (approx. $31 billion as of December 31, 2013), for which State Street Global Markets, LLC, an affiliate of State Street Global Advisors, serves as the marketing agent.