Why co-sourcing is rising – and how a unified data platform solves the accuracy, workflow, and communication challenges between GPs and fund administrators.
Outsourcing fund administration has become standard in private markets, but in recent years, the model has evolved dramatically. As highlighted in the Private Funds CFO Insights 2026 report, firms are shifting away from traditional “hand off the books and hope for the best” outsourcing and moving toward co-sourcing – a collaborative operating model where internal teams and external administrators share responsibility for data, reporting, and oversight.
But this evolution has also exposed a hard truth: Outsourcing only works if the GP has clean, consistent, centralized data.
Without it, administrators struggle to reconcile files, reporting cycles stall, errors multiply, and CFOs lose the very efficiency and accuracy outsourcing is supposed to provide.
The future of outsourcing isn’t about moving responsibility out of the firm – it’s about creating one single system where everyone works together with confidence.
And that’s the gap most firms are now trying to close.
Why outsourcing alone isn’t enough anymore
Fund administrators play a critical role, but their ability to deliver quality work depends directly on the quality, structure, and accessibility of the GP’s data.
The CFO report revealed the biggest outsourcing pain points:
- Manual handoffs and disjointed workflows
- Multiple versions of the same file
- Delays from inconsistent PMC and internal data
- Lengthy question-and-answer cycles
- Reporting discrepancies caused by siloed systems
- Administrators relying on offline, outdated spreadsheets
- Inefficient back-and-forth during monthly and quarterly closes
In other words: You can outsource the work, but you can’t outsource the data chaos. If the GP’s data foundation is weak, outsourcing becomes slower – not faster.
Why co-sourcing is now the preferred model
1. Control + Expertise
The GP maintains control of strategic functions, valuations, and investor-facing reporting while the administrator manages recurring accounting workflows.
2. More transparency for LPs
LPs want clarity on operations. Co-sourcing provides a shared, repeatable, auditable structure.
3. Faster closes & fewer rework cycles
When data is centralized, administrators aren’t re-performing work – or hunting for missing files.
4. Reduced operational risk
Consistency in data and processes reduces the likelihood of errors or compliance issues.
But the model only works if both the GP and the administrator can access the same validated source of truth.
That requires modern infrastructure – and most firms don’t have it.
The cost of working without a unified system
When internal teams, administrators, compliance, tax, valuation specialists, and asset managers all operate out of separate systems or spreadsheets, the inefficiencies multiply:
- Administrators must rebuild GP reports from scratch.
- Accounting and asset management data contradict each other.
- It’s unclear which version of data is final.
- Investor reporting becomes a reconciliation exercise.
- Close timelines stretch longer every quarter.
- LPs ask more questions because the numbers feel inconsistent.
This is why outsourcing often feels harder than doing things in-house.
The problem isn’t the administrator. It’s the infrastructure.
A single system of record changes everything \
When a firm uses a unified platform like Pereview, outsourcing becomes dramatically more effective – and far less painful.
1. Everyone works from the same data
No more emailing spreadsheets or asking “Where did this number come from?”
Administrators, auditors, and internal teams log into the same platform, see the same data, and trust the same source.
2. Data is automatically ingested and standardized
PMC files, internal excel models, rent rolls, financials – everything is mapped consistently so administrators don’t need to reconcile formatting differences every cycle.
3. Reporting becomes repeatable and automated
Variance, ILPA statements, performance reports, waterfalls, and exposure dashboards all pull from the same clean dataset.
4. Administrators can close faster with fewer questions
Because the system organizes and validates data, administrators spend less time cleaning and more time reviewing.
5. Internal teams have real-time transparency
Instead of waiting for close packages, CFOs and asset managers get live access to financials, valuations, and metrics.
6. Audit trails reduce risk for both GP and administrator
Lineage, data governance, and workflow tracking ensure accuracy and compliance. This is co-sourcing done right – technology-enabled, collaborative, efficient, and scalable.
How Pereview makes fund administration outsourcing seamless
Pereview is uniquely positioned to support fund admin relationships because it is:
- A single source of truth across assets, debt, funds, and investors
- Administrators and internal teams reference the same reconciled data.
- AI-powered ingestion built for consistency
- Data arrives clean, structured, and mapped – streamlining month-end and quarter-end closes.
- Automated reporting for both GP and admin teams
- Templates eliminate manual rebuilds and reduce errors.
- Role-based access for external partners
- Fund administrators can work in the system securely without compromising governance.
- Unified workflows across teams
- Asset management → fund accounting → investor reporting → audit → tax All connected in one lifecycle.
- Full transparency for LPs
Cleaner operations lead to faster, more accurate, more credible reporting. Outsourcing is no longer about shifting workloads – it’s about building a shared operational engine that scales.
Outsourcing works best when everyone works in one system
The CFO report is clear: outsourcing is increasing, but the quality of the GP’s data and systems determines the outcome.
A single platform gives firms:
- Faster closes
- Fewer errors
- Stronger LP confidence
- Better collaboration with administrators
- A scalable operating model for new fund structures
- Reduced compliance and reporting risk
This is the future of fund administration – and Pereview is the platform that makes it possible.
