​From Intelligence To Impact: How Connected Reporting And Dynamic Waterfalls Are Reshaping Fund Services

Innovation​From Intelligence To Impact: How Connected Reporting And Dynamic Waterfalls Are Reshaping Fund ServicesByJose Sobrinho,Forbes Councils Member.for Forbes Technology CouncilCOUNCIL POSTExpertise from Forbes Councils members, operated under license. Opinions expressed are those of the author. | Membership (fee-based)May 21, 2026, 08:15am EDTJose Sobrinho is Head of U.S. Technology at Aztec Group. gettyThe first piece in this series explored machine intelligence in private markets, focusing on workflow automation, the removal of manual bottlenecks and greater centralization of data. That foundation matters, but data on its own does not move a fund forward. What moves a fund forward is the ability to turn insight into action. In private markets today, that shift is increasingly being supported by connected reporting and dynamic waterfall modeling. While not a universal solution, these capabilities are emerging as important enablers of operational resilience and investor confidence.​Why This Matters NowPrivate markets are accelerating. Regulatory expectations are tightening across jurisdictions, and fund structures are becoming more complex, with evergreen and semi-liquid vehicles increasingly common.Environmental, social and governance reporting adds another layer of pressure. As PwC’s "Asset and Wealth Management Revolution 2022" report highlights, the share of ESG assets over total global assets under management is projected to rise from 14.4% in 2021 to 21.5% by 2026, meaning more assets will sit under heightened disclosure and reporting standards. This level of growth demands reporting that is consistent, auditable and defensible, not reporting rebuilt manually every cycle.Compliance complexity is already constraining organizations. PwC’s "Global Compliance Survey 2025" found that 77% of organizations said they "had been negatively impacted to some or a great extent" by compliance complexity across areas that directly affect g...