Investment Technology Approach

Investment Technology Approach

A common challenge for technology leaders within the asset management industry is how to manage individual business requirements against a cohesive technology and data strategy. This is often due to 'the business' actually representing several segregated functions (e.g. fund managers, dealers, compliance, operations etc) - all with their own technology solution needs. This contrasts with technology and data strategy which is typically a single organisation-wide view crossing over all business areas and functions. On opposite ends of the spectrum, there are two very different approaches:

1) Business Requirements Driven - Technology solutions are designed and implemented per individual business requirements

2) Technology and Data Strategy Driven - Solutions are focussed on strategically selected investment tools and driven by organisation-wide data consistency

Disadvantages exist in both approaches. Approach 1 can mean that appropriate solution governance is not applied when reacting to business requirements as they arise, whereas Approach 2 can lead to technology solution delivery being misaligned with the needs of the business.

Where the 'correct' answer sits on this spectrum is never 100% clear. One consideration however is to be driven by strategy but break down the barriers of 'business' versus 'technology' through integration of functions and cross pollination of personnel. At Consalis, we believe this works particularly well with detail-driven operations professionals with an appetite to move into a change and technology environment.

November 2015