New Tech Innovations Transforming the Face of Asset Management

Capital Markets CIO Outlook | Tuesday, June 11, 2019

FREMONT, CA: For many established assets and investment managers, juggling a constantly tightening compliance burden, fending off technological challenges and fulfilling client expectations is a high order. As profit margins shrink, asset managers need to discover alternative ways to create revenue and stay competitive.  

The advanced asset management strategy has set out to improve investor protection through regulatory reporting and testing by boosting transparency. It is necessary to record and store the transmission, reception and implementation of trade information. This entails difficulties in data management as companies look to the cloud and more flexible data centers to record, store and monitor data. GDPR needs operating firms to securely store, modify and delete user information, including investor data. Similarly, as data controllers (data owners) under the regulation, asset executives must achieve valid client permission and communicate more accurately how they plan to use their information and with which data processors (data users) they share it.

If asset management technology with cloud-enhanced information flows has altered its structure and framework, then it is automation that drives the real value from nonlinear information interactions that enable companies to distinguish from colleagues. The evident instance is algorithms with pre-established guidelines and clauses to behave in a specific manner should be a stock drop below a particular cost.

Violations of cybersecurity involving valuable or sensitive information or funds on the reputational risk front could prove existential. An additional cost enforced by regulators with heavy penalties, cybersecurity factors revolves around trustworthy anti-malware and governance checks to secure internal third-party information chains. Today's brave new world's asset manager has an ever-growing list of demands from its technology feature, covering trading, portfolio management, risk modelling, impact assessment, and other varied company fields.

Asset managers need alternatives that make these disparate tasks a convenient platform, relying on the provider to introduce emerging technologies to guarantee that they remain ahead in the game.

Check Out: Top Enterprise Asset Management Tech Companies

Data Management