Penetrating insights and the right connections

Interconnectivity: a competitive advantage now, a necessity for survival tomorrow

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As FE fundinfo note in the enlightening thought leadership below, the financial services industry has not been immune to technological advances though it has been slower to catch up, particularly in fund management. These days, all financial services businesses should be focused on their place within the industry and how they are connected to other companies. How specifically does interconnectivity benefit these businesses?

Over the past 30 years and after various phases of technological transformation, the key elements for the economic success of a company have changed dramatically. The triumphant success of the internet and the rapidly increasing network of IT systems has enabled access to information independent of location, device and time, as well as the rapid dissemination of new technologies and product innovations. Market transparency has increased massively as well as customer expectations.

Although, we have now entered the so-called interconnected era, where social, mobile, analytics and cloud dominate, many companies today remain disconnected, restrained by organisational silos and boundaries, complicated business processes and outdated information systems.

Companies still facing those challenges will need to move fast to adapt, move away from siloed business units and move towards interdependent ecosystems to create value for their customers.

Financial services and interconnectivity

The financial services industry has not been immune to technological advances though it has been slower to catch up, particularly in fund management.

These days, all financial services businesses should be focused on their place within the industry and how they are connected to other companies. Financial markets now move at breakneck speed with information changing daily. The risks of not keeping up are catastrophic. Imagine, for example, how a lack of connectivity within the entire network would cause major issues in cryptocurrency trading. Or how billions can be lost very quickly if a stock exchange has outages.

This is a particular problem for global financial institutions who work across multiple markets and distribution channels.

Blurring the lines between financial services and technology companies

Adopting new technologies in the back, middle and front offices and throughout the whole value chain can help reduce costs, process data more quickly and optimise processes.

But while global teams of Banks, Asset Managers and Insurance companies rely on cloud services to access accurate fund data instantly to provide their services or to determine risks, they still are dealing in a highly regulated space where security is absolutely crucial.

In building your connected ecosystem, to gain the benefits listed above, and in the adoption of new technology you need to consider the longevity of the partnerships you build.

The ideal state is a network with very robust direct connections on one hand, and on the other hand, virtual cross connects that will help provide reliable connectivity and foster partnerships which benefits everyone involved.

Facilitating connections

At FE fundinfo, we have transformed from a “pure” service provider to a coordinator of a data ecosystem for the entire fund industry that offers our customers reliable fund data and digital and document production systems all from a single source. We connect all sides of the fund industry, whether you are a fund manager, distributor or a channel partner by providing a unique marketplace to bridge lasting connections and partnerships.

Our fundinfo.cloud is one of the world’s largest information marketplaces for local and international investment funds and is used by fund managers, fund distributors and financial advisers to communicate, research and select funds.

Become a part of the FE fundinfo ecosystem. Talk to one of our specialists about how we can help your company become better connected via the FE fundinfo ecosystem.

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