simplify cre distributions

CRE (Commercial Real Estate) investment managers help develop and enhance a business’s management model for investors in the commercial real estate market. While carefully formulating and essentially minimizing previous managing techniques, investment managers can help their clients keep a direct grasp on their investment return, with easy-to-understand and process reports.

CRE investment managers see several issues daily. While managing their clientele’s investments and ensuring calculations for gains and losses are accurate; investment managers continuously strive to provide the best-in-class performance possible. Having to do all of this without the proper tools or efficiencies can be tough.

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To cut back on the time spent managing their client’s investments, several innovative and advanced tools have been compiled. They show CRE investment managers how they can streamline their processes and utilize these technological advancements to better organize and manage their client base.

1. Stop Using Spreadsheets to Manage Your Clients

cre investment manager spreadsheet

This should go without saying. Spreadsheets might seem like the “simple and easy” way to get what you need from the client management system. However, the amount of information that can be monitored through the design of the spreadsheets ends up creating more work to keep the financial information needed accurate and up to date.

Switching to programs such as Covercy, IMS, or Juniper Square will help keep all information organized and easily recalled or updated. Providing you with an organized streamline of all the business that you do.

2. Stop Using NACHA Files

nacha file

If you’ve ever used NACHA files, you already know the struggle and probably rolled your eyes when you read the word. An outdated system that has been replaced by far more advanced payment system options that will appeal to every client.

It is a time-consuming, completely manual system that provides unneeded steps in managing your business and processing payments. Inclusive management platforms complete these processes, produce, and manage reports accurately. Easing investment management’s role as account overseer.

While using Juniper Square or IMS, a NACHA file will be required. However, the Covercy payment platform completely eliminates the need for using NACHA files. All of the payments are done through an end-to-end online. The money goes right from the source platform to the investors’ bank accounts.

3. Automatic Pro-Rata Calculations

CRE investment managers should consider an automatic pro-rata calculation tool that takes all the guesswork and stress out of the allocation of investors’ funds. The system creates a value for clients that ensures accuracy every single time.

Using a cloud-based platform that is easy to use, like Covercy would enable nearly anyone to perform pro-rata calculations and process the distribution payments right in the same window.

4. Having an Investor Portal with The Best-in-Class Experience and Automated Messaging

investor portal mobile phone

We know that an investor portal is something that you may or may not have thought about adding to your management system. If not, now is the time to acquire this groundbreaking technology. You don’t have to hire someone to manually input information each time someone messages your firm, an automated message promptly is dispatched to your client letting them know you are on the task.

Not only does this system automatically generate replies but you can also conduct all correspondence about payments, inventory, distribution, or anything else in your automated reply through the platform.
Having this portal is going to give your company an advantage. Every investor will want to obtain their financial statistics and see accurate reports for any of their investment gains or losses. Through this portal, you’re giving them more control, building trust, and in turn strengthening your investment relationship and potential with your clients. It is a win-win for everyone. What’s on that investor portal?

Expect to see complete breakdowns of all metrics, reports, results, contacts, etc. will help clients to verify their information limiting their need for communication with their CRE investment manager. Staying connected through the portal can help eliminate some of the unknown variables.

5. Use a Waterfall Model That Has Been Carefully Reviewed by Qualified Professionals. Then Use Automated Waterfall Calculations.

We know, we cheated and technically gave you two steps instead of one, but that just means you get more helpful information, right?

Using a waterfall model that is easy-to-understand allows you to quickly assess investment return values for clients. Without intricate loops to jump through to get the answer, investment managers can easily identify gains or loss values for clients through an easy to use platform. Having the model reviewed by a professional before inputting it into the management system ensures accuracy for your clients. Once approved, using an automated waterfall calculation system will generate the results you need.

Some calculations can be challenging for this automated system, such as the private equity fund accounting, but other accounts can be automated to find their calculations and input them into the system for you automatically. Consulting with a professional will help ensure your data is accurate.

6. Use Cloud-Enabled Tech

Having cloud-enabled technology throughout the office is something that is going to safeguard your data. If something, anything, should happen, then you are protected. Storing items in the cloud, especially calculations that are crucial to businesses is going to save you a lot of stress and time. Protecting your client’s sensitive information and your business’s data ensures no one suffers a loss should an unforeseen circumstance arise.

Streamline your processes with being able to save, store, and share files through the cloud, with access through any devices on the service at the same time. This helps to keep documents available to everyone in the office but also helps to keep them protected. The cloud is one of the most secure places to store various online files.