Digitalisation has taken financial institutions along a prosperous path of better understanding, management and utilisation of the data that their activities generate. But technological evolution and the changed economic environment have placed a new set of challenges onto their shoulders.
Institutions are now grappling with how they can take their digital programme further, especially given that the rising demand for data-management expertise has made it difficult to find the talent to put plans into action. The answer lies in outsourcing data management capabilities to a partner that can take a holistic view of an organisation’s data estate and processes, argues S&P Global Market Intelligence.
In a report published by A-Team Group, the company says that a new generation of third-party data provision is called for, one that can offer the technology and the data feeds to accelerate the digitalisation of institutions as well as the know-how to execute their programmes.
“Today, institutions’ needs are more nuanced and sophisticated. In this new marketplace, the service providers that will prosper are those that can offer data management and analytics skills alongside trusted, robust data sources and underpinned by scalable technology,” the report states. “Not only that, but these solutions must also be configurable to the new investment and risk-management use cases.”
Evolving Strategies
The S&P Global Market Intelligence report, entitled “The Evolution of Outsourcing Data Operations for ESG and Private Assets”, argues that established outsourcing strategies have tended to be focused on providing solutions to specific challenges.
The new alternative is a strategy such as that taken by S&P Global Market Intelligence’s cloud-based Data Management as a Service offering. This solution considers institutions’ broader needs – from sourcing through to distribution and monitoring – and, importantly, it is scalable.
“This solution can be seen as a one-stop-shop in which institutions leverage all the opportunities of software, data and third-party competencies via the cloud, to fully extract the value inherent in their data and scale their operations,” the report states.
S&P Global Market Intelligence illustrates how its solution can help in this scenario through the lens of two new use cases that such organisations are increasingly having to tackle: private market investment and integration of ESG data and processes.
The report argues that both domains offer separate novel data challenges that can be solved through the
The report also offers insights into how:
- The new trading environment is placing novel data challenges
- Cloud solutions are helping institutions overcome new data management pressures
- Tight data talent markets are impacting institutions
- Data Management as a Service brings together tools and skills that enable professionals to tailor individual solutions to specific challenges.
Download the full report here.
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