This article was originally published in Bloomberg News
Morgan Stanley is adopting technology backed by KKR & Co. that will help the bank facilitate transactions from alternative asset managers looking to expand their access to high-net-worth individuals.
The Wall Street firm’s wealth platform added Corastone, software that provides the infrastructure to process fund transactions, according to a statement seen by Bloomberg. KKR, Apollo Global Management Inc. and Franklin Resources Inc. are among those that agreed to have investment products distributed using the system.
Corastone uses blockchain technology to speed up administrative processing to bring new investors into fund products, something that was previously done manually.
Alternative asset managers have grappled with difficulties involving paperwork and settling transactions as they moved into the business of selling funds to wealthy individuals. A frequent problem is that documents required to invest in the funds, which often offer the ability to cash out on a monthly or quarterly basis, will be incomplete or inaccurate.