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Hedge Fund Due Diligence Platform

Hedge Fund Due Diligence Software for Alternatives

AlternativeSoft is a hedge fund due diligence platform for the full alternatives spectrum. Run investment and operational due diligence, automate DDQs with AI and flag risks - with analytics built for how hedge funds and private markets actually behave.

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Trusted by 150+ institutions managing $1.5tn+ since 2005
Hedge Fund ODD Live
2
Critical
5
Pending
38
Cleared
Governance
Operations
Regulatory
Manager risk scanResilience: A-
90%Less time on DDQs
500k+Funds covered
150+Institutions
$1.5tn+Assets analysed

What is hedge fund due diligence software?

Hedge fund due diligence software helps investors evaluate hedge fund managers across both investment and operational risk. AlternativeSoft combines quantitative manager analysis with operational due diligence and AI-driven DDQ automation - purpose-built for the non-normal returns, leverage and complex structures of alternative investments.

  • Investment DD: performance, risk and style analysis tuned for hedge funds.
  • Operational DD: governance, counterparties and controls in one workflow.
  • DDQ automation: AI completes hedge fund questionnaires from your documents.
  • Risk-aware: analytics that handle fat tails, skew and drawdowns.
Operational Due Diligence Live
2
Critical
5
Pending
38
Cleared
Governance
Operations
Regulatory
Last scan · 2 min agoResilience: A-

Analytics built for how hedge funds actually behave

Standard tools assume mean-variance behaviour; hedge funds rarely cooperate. AlternativeSoft provides alternative investment due diligence analytics that reflect reality - modified VaR and CVaR, drawdown attribution, stress testing and style/factor analysis - so you understand a manager's true risk before you allocate.

  • Modified VaR & CVaR that account for skewness and kurtosis.
  • Drawdown attribution to see exactly what drove a loss.
  • Stress testing against 2008, 2020 and bespoke scenarios.
  • Style & factor analysis to separate alpha from beta and flag style drift.
Risk Analytics Live
-12.4%
Max Drawdown
-3.1%
VaR (95%)
1.42
Sharpe
Tail-aware analyticsStress tested

Operational due diligence for hedge funds

Operational failures sink more hedge fund allocations than poor returns. AlternativeSoft's operational due diligence for hedge funds captures governance, service providers, valuation and compliance through structured questionnaires, with AI parsing documents and flagging the issues that matter.

  • Hedge fund ODD questionnaires aligned to industry standards.
  • Counterparty & prime broker verification and tracking.
  • Valuation & compliance review with automated red flags.
  • Ongoing monitoring with periodic re-review and change alerts.
Compliance Check Scanning
40 checks2 flagged · 38 passed
Fee structure disclosurePass
AUM & liquidity termsPass
Conflicts of interestReview
Regulatory registrationsPass
Side-letter termsFlag
Automated risk flaggingLive

One platform for alternatives due diligence

Beyond hedge funds, AlternativeSoft is alternatives due diligence software covering private equity, private credit and more. Screen 500,000+ funds, benchmark against true peers, model cash flows and run questionnaires - bringing every alternative asset class into one consistent due diligence process.

  • 500,000+ funds across hedge funds, private markets and traditional assets.
  • Peer benchmarking against thousands of genuine strategy peers.
  • Private markets tools including cash-flow and commitment modelling.
  • Consistent process applied across every alternative allocation.
Fund Screener 500k+ funds
Global Macro · Sharpe > 1.2
1Meridian Global Macro9.4
2Halcyon Diversified8.8
3Crestline Multi-Strat8.1
Ranked by composite score4,000+ stats
Hedge Fund DD Capabilities

Investment and Operational DD in One Platform

Manager analytics, ODD, AI DDQ automation and alternatives risk modelling.

Manager Analysis

Assess hedge fund performance, risk and style across 500,000+ funds.

Operational Due Diligence

Run hedge fund ODD with structured questionnaires and automated flagging.

Tail-Aware Risk Analytics

Modified VaR, CVaR, drawdown attribution and stress testing for alternatives.

AI DDQ Automation

Complete hedge fund due diligence questionnaires with cited, reviewable answers.

Peer Benchmarking

Compare a manager against thousands of true strategy peers, not broad indices.

Private Markets Coverage

Extend due diligence to private equity and credit with cash-flow modelling.

Explore More

Related Due Diligence Solutions

Operational Due Diligence SoftwareCloud ODD with risk flagging & document hubDue Diligence SoftwareThe complete investment & operational DD platformDDQ Automation SoftwareComplete due diligence questionnaires with AIAI Due Diligence SoftwareAI document analysis & questionnaire completionDD Software for AllocatorsFor pension funds, endowments & family officesDue Diligence ExchangeSee every feature of the full platform
FAQ

Frequently Asked Questions

What is the best hedge fund due diligence software?
AlternativeSoft is a leading hedge fund due diligence platform, combining investment analytics, operational due diligence and AI DDQ automation. It covers 500,000+ funds and is used by 150+ institutions managing over $1.5tn in assets.
Does the platform support operational due diligence for hedge funds?
Yes. AlternativeSoft provides operational due diligence for hedge funds with structured ODD questionnaires, counterparty tracking, document parsing and ongoing monitoring.
Can it handle alternative investment due diligence beyond hedge funds?
Yes. AlternativeSoft is alternatives due diligence software covering hedge funds, private equity and private credit, with analytics and cash-flow tools designed for each asset class.
What risk analytics does hedge fund due diligence software need?
Because hedge funds have non-normal returns, AlternativeSoft provides modified VaR and CVaR, drawdown attribution, stress testing and style analysis - measures that reflect tail risk and style drift.
Can it automate hedge fund DDQs?
Yes. AlternativeSoft uses AI to complete hedge fund due diligence questionnaires from your document library, citing sources and flagging gaps for analyst review.

Strengthen Your Hedge Fund Due Diligence

See how AlternativeSoft unifies investment and operational due diligence for hedge funds and alternatives. Book a demo.

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New: AlternativeSoft MCP in AlternativeSoft Cloud

Ask your AI assistant about any hedge fund: AlternativeSoft MCP for hedge fund due diligence

Hedge fund due diligence runs on two tracks: the operational review of the manager, and the quantitative review of the fund. AlternativeSoft MCP, now available with AlternativeSoft Cloud, brings the second track into the AI assistant your analysts already use. Ask Claude, ChatGPT or Microsoft 365 Copilot for a peer ranking, a stress test or a factor breakdown in plain language and the answer is computed on your own AlternativeSoft data and the 30,000+ hedge funds in the database, not generated from memory.

“Rank this hedge fund against its equity long/short peers on Sharpe, Sortino and maximum drawdown over three years.”

What comes back: The peer group built the way an allocator builds it, the fund’s quartile on each statistic and a short read-out of where it stands out.

“How would this fund have performed in 2008, March 2020 and a 200 basis point rate shock?”

What comes back: The stress test results computed live, with the worst scenario flagged, so the due diligence file carries real scenario analysis.

“How much of this manager’s return is explained by equity beta, credit and momentum, and how much is alpha?”

What comes back: The factor exposures, the R-squared and the residual alpha, so the quantitative due diligence question of skill versus market exposure is answered in a sentence.

Read-onlyMCP never creates, edits or deletes anything in AlternativeSoft
Your dataEvery answer is computed on your own database, not from the model’s memory
Any assistantClaude, ChatGPT, Microsoft 365 Copilot, GitHub Copilot and any MCP-ready AI
Cloud or localServer-hosted MCP for web assistants, local MCP for desktop tools
See AlternativeSoft MCPRequest a demo with your own managers

Can I use AlternativeSoft MCP for operational due diligence?

Yes, for the quantitative side of the review. AlternativeSoft MCP lets Claude, ChatGPT, Microsoft 365 Copilot or any MCP-ready assistant ask the AlternativeSoft engine for a manager’s return, risk, drawdown, peer rank, stress test and factor exposure in plain language, computed on your own data. It complements the DDQ and document review in the Cloud ODD platform rather than replacing them.

Is AlternativeSoft MCP included in the cloud offering?

AlternativeSoft MCP is available with AlternativeSoft Cloud and with the desktop platform. It is read-only, runs either server-hosted for web assistants or locally for desktop tools, and requires the REST API to be enabled and an MCP licence confirmed by support. Setup usually takes under an hour.

Book a DemoFree trial after the demo. Reply within one business day.