Key Priority for Asset Managers in 2017
Based on a recent report by Osney Media and BackBay Communications, more than 50% of asset managers plan to replace outdated tech over the next year. It appears technology is a definite priority for 2017 and beyond.
- New research reveals that technology systems and client reporting improvements are key business priorities for asset managers in 2017.
- Less than half of asset managers provide real-time reporting, ereporting or mobile reporting capabilities for their clients.
- One third of asset managers are considering an online client portal for the first time and many will plan to launch a mobile app.
- Data governance initiatives and outsourcing tech operations were also high on the list of priorities. Environmental and social issues are also becoming a more important part of the investment decision-making process.
- Many asset managers indicated that regulatory change, together with a desire to meet client demands, is the key driver behind new technology adoption.
- About half mentioned pressure on margins and costs, while almost 40% cited the rise of passive investing.
- Artificial intelligence is seen as having the greatest disruptive potential for the industry in the years ahead. Only a small percent said that blockchain would be the leading disruptive technology.
- Most are proceeding cautiously, with about 25% skeptical that the industry will look much different in five years (although some believe and expect the industry to be radically different in that time frame).