Lawson Conner Case Studies



UK's leading real estate fund manager launches crowdfunding platform within five weeks

Situation

An established UK residential property, developer and asset manager was seeking to complement their current business model with the launch of an equity crowdfunding platform.

Client goals

To partner with a leading regulatory service provider which had past experience launching similar structures and could provide appropriate compliance and regulatory infrastructure, compliance technology, risk monitoring and other support services.

Barriers to success

The complexity due to the neccessity to deal with a vast ecosystem of counterparties from the legal structure to the payment processor to the fund administrator / custodian.

Solutions provided

Lawson Conner had demonstrated extensive previous experience with similar assignments and could offer the following solutions: Regulatory Due Diligence; Risk Management; Investment Structure; Digital Platform Infrastructure Review; Ongoing Compliance Monitoring; Ongoing Regulatory Monitoring; Financial Promotions Approval.

Results

The client was able to launch its new business in record time with greater efficiency, lower risk and more cost effectively compared to an average launch.

US quantative hedge fund launches London operation within four weeks

Situation

A US hedge fund was looking to open a London office in order to integrate additional local traders to seamlessly complement its existing strategy in New York. The hedge fund was in need of an immediately available turn-key structure including regulatory license, framework and office space.

Client goals

An immediate go-live via a simple service provider offering, commencing with fund formation, structuring, legal, compliance and regulations and office management services being provided.

Barriers to success

The average time frame for the implementation of such a project is 10-12 months with a cost of £500-800k. Due to regulatory reasons, the portfolio managers and traders would be unable to trade during the preparation time, potentially harming the client's ability to attract top talent and take advantage of market dislocations.

Solutions provided

Lawson Conner provided a one-stop solution to the client, comprising of: Compliance and Regulations; Risk Management; Client Side Compliance; Reporting to the FCA; Ongoing Compliance Services; Office Space.

Results

The client was able to trade within four weeks and execute live traders locally, enhancing investor returns.

One of the biggest private equity spin-outs of 2015 required an immediate regulatory hosting solution

Situation

The private equity arm of one of the largest global fund management groups was spinning out of its ultimate parent company via a management buyout and needed to start conducting regulated acitvities immediately after spinning-out whilst awaiting FCA authorisation.

Client goals

An interim solution which would enable operation during the lengthy approval process of six to 10 months and provide speed of execution and a smooth business transition.

Barriers to success

Such a delicate transaction as a management buyout involves significant investor dialogue, and, entrusting the regulatory status of the UK entity to a third party can often be a challenging proposition for institutional investors to comprehend.

Solutions provided

Lawson Conner provided immediate regulatory license coverage for the client's: Marketing of the Fund under AIFMD (Capital raising); Compliance Infrastructure for successful execution of transactions; Change Over Plan; Due Diligence Framework.

Results

The management buyout and the launch of the client's own fund was executed in a record time of two weeks without any material business disruption. All investors were extremely satisfied and through the rapidly provided hosting solution, the client was able to raise additional capital from both existing and new investors.