As limited partners grow more sophisticated, their expectations for fund reporting have evolved far beyond the quarterly PDF. Today, LPs are seeking clear, consistent, and useful information delivered in formats that align with how they analyze portfolios and make allocation decisions.
In this piece, we’ve brought together perspectives from both a fund administrator (Vector AIS) and a private markets data platform (Arch) to outline what LPs are looking for in their reporting experience and how GPs can meet those expectations without overwhelming their back office.
1. Timely and Consistent Capital Account Reporting
At a minimum, LPs expect accurate capital account statements that arrive on a predictable cadence. These statements should reflect:
While this sounds straightforward, inconsistency in format, delivery method, or timing can erode LP confidence. Data platforms that automatically collect and aggregate fund documents create the standardization LPs need as they manage reports from dozens of funds at once.
2. Clarity on Key Fund Metrics
LPs increasingly track fund performance against benchmarks across asset classes and vintages. To do so, they need reporting that clearly lays out:
Beyond just presenting the numbers, contextual notes (e.g., changes in valuation methodology, write-ups/write-downs, or exits) help LPs understand the “why” behind performance changes.
3. Portfolio Company-Level Transparency
For both VC and PE strategies, LPs often want insight into the underlying portfolio. While there’s a balance between transparency and confidentiality, many GPs now provide:
This level of detail helps LPs report internally to their stakeholders and fosters trust in the GP relationship.
4. Digital Access to Data
While PDFs are still common, many LPs now prefer digital access to their fund data, whether via an LP portal or through a data-sharing platform. Furthermore, chasing down hundreds of scattered documents across portals, inboxes, and file shares create significant administrative burden. They want the ability to:
For LPs managing hundreds of fund relationships, digital access and a central source of truth is no longer a “nice to have;” it’s infrastructure. This is where companies like Arch come in to help aggregate data so it’s all in one place.
5. Responsiveness and Context
No platform replaces a thoughtful human response. LPs value when a GP or admin can quickly and clearly answer questions, provide supporting documentation, or clarify questions in a report.
Increasingly, GPs are leaning on partners (like fund admins and tech platforms) to handle these operational touchpoints so they can focus on investment strategy and relationship building.
Final Thought: Reporting as a Reflection of Firm Maturity
While LPs don't expect perfection, they do look at reporting as a signal of a fund's operational strength. Reporting that is timely, clear, and well-organized helps reinforce trust and demonstrates a commitment to transparency and professionalism.
Whether you’re preparing your first capital account statement or refining your investor portal experience, aligning with LP expectations early sets the tone for lasting partnerships.
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