What is Smart Text?
Smart Text is a feature in DiligenceVault that allows firms to pre-configure structured templates directly within Analyst Evaluation (AE) response fields. Instead of facing a blank text box, analysts can add pre-populated guidance, prompts, and dynamic data tags that are ready to be reviewed, completed, and submitted.
Think of it as a structured nudge: it ensures every analyst, across every team, approaches evaluations the same way. Covering the same critical points, using consistent language, and referencing accurate data pulled automatically from the DDQ.
Smart Text combines two powerful elements:
- Guided evaluation prompts : Pre-written frameworks that tell analysts exactly what to look for and how to structure their commentary.
- Dynamic data tags (e.g., {{AUM}}, {{Fund Name}}, {{Redemption Frequency}}) : Placeholders that auto-fill with live data from the manager's DDQ, eliminating manual copy-paste and reducing errors.
Key Benefits at a Glance
- Faster evaluations : Analysts fill in the blanks rather than writing from scratch.
- Consistent output : Every report follows the same structure regardless of who wrote it.
- Live data tags : Dynamic tags pull real fund data directly into evaluation narratives.
- Built-in guidance — junior analysts are prompted on exactly what points to cover.
How to Configure Smart Text
Smart Text is configured at the template level by administrators. Once set up on a template, it is automatically available in every evaluation project created from that template.
- Navigate to Templates : Go to the Diligence section and open Templates. Select an existing template or create a new one.
- In the template editor, locate the question you want to configure. Click the Configure Smart Text icon (the text/template icon) next to that question.
- In the configuration panel, write your structured prompt. Select dynamic tags such as Project name, Entity name, Manager firm name, etc to insert live DDQ data. Use placeholders like [Analyst Input] where free-text commentary is expected.
- Save the configuration : Save your Smart Text. The template is now configured. Every evaluation project created from it will present analysts with your pre-configured Smart Text in the relevant response boxes.
- Repeat for additional questions : You can configure Smart Text for as many questions as needed. Different questions can have different smart texts. For example, a detailed narrative prompt for Operational Risk Assessment and a concise checklist for Compliance Review.
Example Tag Syntax {{Tofirm_name}}'s compliance manual was last updated on {{date_72}} . Operational risk is assessed as [Low / Medium / High] due to [Analyst Input]. |
How to Use Smart Text in an Evaluation Project
Once Smart Text is configured on a template, analysts can use it directly within any evaluation project.
- Open your Analyst Evaluation project : Navigate to the relevant project under the Diligence section. Open the Analyst Evaluation tab and select the question you want to respond to.
- For questions with Smart Text configured, click the Smart Text icon in the response toolbar. This opens the Use Smart Text Intelligence dialog with the pre-built response structure.
- The dialog may prompt you to complete dropdown selections or date fields. Dynamic tags will already be auto-filled with the manager's live DDQ data.
- The Smart Text — complete with pre-filled data and analyst inputs — is inserted into the response box. Review, edit, and finalize before submitting.
Use Cases: Who Uses Smart Text and How?
Smart Text is designed for any team involved in fund manager due diligence. Below are the primary use cases across different evaluation functions.
🔍 1. Operational Due Diligence (ODD) For: ODD Teams · Compliance Officers · Risk Officers |
ODD teams evaluate operational controls, compliance frameworks, and infrastructure. Smart Text acts as a built-in checklist to ensure no critical area is missed.
- Pre-populate valuation policy review checklists
- Template prompts for confirming ADV alignment with DDQ responses
- Structured commentary on cybersecurity posture and business continuity
Example Smart Text {{Manager Name}}'s compliance manual was last updated on {{Last Review Date}}. The team noted [Analyst Input] regarding personal trading oversight. Operational risk is assessed as [Low / Medium / High]. |
📈 2. Investment Due Diligence (IDD) For: Portfolio Analysts · Investment Committees |
IDD teams assess strategy fit, performance attribution, and team quality. Smart Text standardizes how the investment thesis is documented, ensuring every IC memo covers the same ground.
- Evaluation of Strategy, Process, and People in every report
- Standard sections for Key Drivers of Outperformance and Potential Headwinds
- Auto-filled performance data to eliminate manual transcription
Example Smart Text The strategy managed by {{Portfolio Manager}} has delivered {{1Y Return}} vs {{Benchmark}}. Current AUM: {{Strategy AUM}}. This is [within / outside] stated capacity limits. Key strengths: [Analyst Input]. |
🌱 3. ESG & Sustainability Teams For: ESG Analysts · Sustainability Officers |
ESG evaluations are often subjective. Smart Text provides the structure to make them quantitative, comparable, and aligned with regulatory frameworks such as SFDR.
- SFDR classification prompts for Article 6 / 8 / 9 verification
- DEI scorecard templates with firm-specific diversity benchmarks
- ESG maturity rating frameworks pre-filled with policy availability data
Example Smart Text The firm has {{ESG Policy Status}} and integrates ESG factors at the {{Investment Stage}}. Female senior leadership: {{Diversity Stats — Female}} (internal benchmark: 30%). ESG maturity rating: [High / Moderate / Low]. |
Summary: Why Smart Text?
Smart Text addresses the most common challenges that arise when multiple analysts evaluate multiple managers — inconsistency, inefficiency, and data errors.
| Benefit | How Smart Text Delivers It |
| Efficiency | Analysts fill in the blanks rather than writing from scratch, significantly reducing time per evaluation. |
| Standardization | Every ODD, IDD, or ESG report follows the same structure regardless of which analyst authored it. |
| Data Integrity | Dynamic tags pull live data from the manager's DDQ into the narrative, eliminating copy-paste errors. |
| Audit Readiness | Consistent structure and terminology make evaluations easier to review internally and present to regulators. |
| Analyst Training | Junior analysts are guided on exactly which points to cover and how to frame their observations. |
| IC Preparation | Investment Committee materials are drafted faster with consistent language and auto-filled performance data. |
For questions or support, contact your DiligenceVault Client Success Manager.