Paladyne Systems

Paladyne Systems, Inc. (, a leading solutions provider for the hedge fund industry, develops and distributes technology designed to streamline hedge fund operations while providing business efficiency and cost savings throughout the organization. Paladyne offers a fully-hosted technology platform known as the PALADYNE suite which is capable of supporting the front- to back-office requirements of today's most comprehensive hedge funds.

The PALADYNE suite is an integrated set of applications including: order management, portfolio management, portfolio accounting, global security master, analytics toolset, comprehensive portfolio pricing, custom reporting, and customer relationship management. Paladyne was formed through an acquisition of its technology platform from a large U.S.-based multi-strategy hedge fund.

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Latest Content From Paladyne Systems

Whitepaper: Hedge Fund Portfolio Pricing Best Practices

by Paladyne SystemsMay 01, 2008

Hedge fund pricing has always been, at best, a highly inconsistent and unreliable process. The hedge fund industry has never been required to adopt a standard policy for valuing securities, especially the private, illiquid, and over-the-counter asset classes. However, recent market volatility and mounting pressure from institutional investors has forced hedge fund managers to focus on the adoption of a standardized pricing and valuation methodology. More recently, the issue of pricing and valuation has escalated to Washington. The root cause of the pricing and valuation dilemma within the hedge fund industry is the lack of any consistent pricing standards. Despite numerous methods of valuation and the existence of sophisticated pricing models, there remains a high degree of variance in the application and selection of pricing methodologies amongst hedge fund managers.


by Paladyne SystemsOct 01, 2007

As the hedge fund industry continues its rapid growth and assets pour in at record levels amid rising institutional allocations, industry dynamics are changing significantly. Recent high-profile blow-ups have led to calls for increased operational scrutiny and transparency of investment processes. Managers have been forced to upgrade their operations and accounting infrastructures amidst intense cost pressures. Competition for investors has moved managers away from traditional investments into emerging markets and over-the-counter products which has created even more of a need for tight operational control and comprehensive infrastructure. As these market dynamics change, prime brokers are realizing they have to adapt their business models if they want to sustain the high level of profitability their parent investment banks have grown accustomed to. However, as cost pressures and infrastructure demands intensify, more and more managers are choosing to maintain multiple prime broker relationships to get best access, competitive pricing, and, to a lesser extent, non-traditional services such as fund administration and comprehensive technology.

Whitepaper: The Need for Multi-Prime Brokers

by Paladyne SystemsOct 01, 2006

In the fast changing and demanding world of hedge funds, managers continue to chase opportunities by expanding into strategies that promise higher returns, while managing their operating costs. At the heart of any hedge fund�s operations is its dependency on the prime broker�or as is the case in most leading funds, dependency on multiple prime brokers. For smaller managers the structural challenges of adding a second or third prime can be prohibitive and many prefer the ease of staying in an existing relationship. Still, the requirement of multi-prime brokers is no longer going to be only a luxury for the larger fund managers but rather, with the increased industry and investor demands, will mean all hedge funds managers will, and are, moving aggressively towards having at least two or three or more prime brokers to service their needs.

Whitepaper: Hedge Funds Catch the Outsourcing Wave

by Paladyne SystemsMar 01, 2006

In the fast paced world of hedge funds, managers face a myriad of new trading and operational challenges. There is increased pressure from investors and regulators for more transparency. Competition for investors continues to heat up. Investment products are becoming increasingly complex, and new markets are creating greater investment risk. Managers are struggling to maintain high and consistent performance results. Traders have shifted their focus into complex derivatives and non-traditional assets which require multiple prime broker and counterparty relationships. Operational pressure continues to mount as the middle and back-offices are forced to process and account for these investment products and relationships. Managers are now at a crossroads, and are faced with a major decision: either to build comprehensive infrastructure or to outsource their middle- and back-office operations and technology.