Phoenix American and Alternative Investment Exchange Announce Their Partnership to Deliver Straight-Through Processing for Alternative Investments

SAN RAFAEL, Calif. and PHILADELPHIA, Sept. 16, 2020 /PRNewswire/ — Phoenix American, a leading transfer agent and fund administration provider for alternative investments, and Alternative Investment Exchange (AIX), a digital platform built to improve processes for investing in alternatives, have announced an integration partnership to provide a seamless, fully digital purchase process for client funds. The partnership will enable investors to purchase alternative investment products digitally using the AIX platform resulting in a complete and active investment record in the Phoenix American transfer agent system, STAR-XMS, with no manual intervention.

“We’re working hard to improve the way business is done and grow the overall industry. Partnering with Phoenix American is a critical step toward that goal,” said AIX COO, Brad West.

The partnership between Phoenix American and AIX is a key step in advancing the entire alternative investment industry. A significant amount of attention is paid in the alternatives industry to the problem of investment subscriptions that arrive at the transfer agent ‘not in good order’ (NIGO). Minimizing NIGOs by developing a purchase process that eliminates manual data input has been a long-term goal. While both firms believe that reducing NIGOs is essential, they agree that it will not by itself scale the alternatives industry. Full automation of the purchase process will.

“Phoenix American has long been a supporter of technological advancements that reduce costs for sponsors and improve investor and rep adoption of alternative investments,” said Andrew Constantin, Senior Vice President, Operations for Phoenix American. “Our mission is to identify ways to reduce operational frictions while remaining agnostic. Leveraging the AIX platform is an important step for Phoenix American as we continue to embrace advancements in technology that push the industry forward.”

Seamlessly moving data between the firms’ systems, without manual intervention, will fundamentally change the way business is done. With Phoenix American integrated with the AIX Platform, true front-to-back connectivity of pure data involving no paper will occur for the first time. Authentically connecting sponsors, advisors and wealth managers to create a mutual-fund-like experience enhances compliance, provides true efficiency and addresses an operational friction that has rate-limited growth in the alternatives industry. This authentic data connectivity is where both Phoenix American and AIX see the potential to grow the alternatives industry and create transformational change.

The first client of the new partnership is ARCTRUST Properties, Inc., sponsor of ARCTRUST, Inc., ARCTRUST III, Inc. and Capitol Opportunity Zone Fund, LP, programs specializing in investments made through Protected Appreciation Vehicles for Real Estate (PAVRs).

The AIX Platform integration will also enable Phoenix American to create opportunities for advisors to participate in alternatives, providing a significant competitive edge. AIX’s technology was built to provide dynamic check points across the entire investment life-cycle, removing obstacles that advisors and wealth management home offices often encounter. Advisors will experience for the first time, a seamless experience of buying, owning, and selling alternatives for their clients.

AIX COO Brad West added, “We wanted to confront the objections and address the friction points that have rate-limited growth in this industry.  We have committed ourselves to building the plumbing that will connect and benefit the entire industry, creating meaningful change and positive outcomes for each stakeholder we serve.”

Phoenix American, an innovator in the alternatives industry, welcomes the added efficiency of the AIX integration. The company’s STAR-XMS transfer agent and administration system, the most advanced administration system in alternatives, centralizes and streamlines back-office functions and provides sales reporting capability to drive sales. The integration of STAR-XMS with the AIX platform, eliminating the need for manual entry of subscription information, further streamlines the Phoenix American back-office process.

About AIX:
Alternative Investment Exchange (AIX) is a leading enterprise platform that simplifies buying, owning and trading in alternative investments – transforming the business model and empowering growth by connecting data. AIX’s technology helps wealth and asset managers use business intelligence to manage risk, drive efficiency and improve advisor and investor experiences. Thousands of wealth advisors rely on AIX to support their business. AIX employs over 30 people and is based in the Philadelphia Navy Yard. For more information, please visit or Linkedin:

About Phoenix American:
Phoenix American provides full-service fund administration, fund accounting, transfer agent and investor services as well as sales and marketing reporting to fund sponsors in the alternative investment industry. The Phoenix American aircraft group provides managing agent and accounting services for asset-backed securitizations specializing in the commercial aviation leasing industry. The company was founded in 1972, has six offices worldwide and is headquartered in San Rafael, CA.

David Fisher
(310) 621-7822

SOURCE Phoenix American

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