In an interview with Ignites, Delta Data CEO Cameron Routh discussed how pricing pressure has exacerbated the need for industry companies to automate their back offices.
The recent trend of a challenging environment across the industry has propelled a very dramatic shift within mutual fund operations towards leveraging technology solutions. With a new demonstrative focus on efficiency and pressure to reduce costs, the industry is now leaning into technology overhauls driven by automation. This as many firms find themselves playing catch-up in their technology capabilities.
“This industry is a little bit behind in terms of fully automating these back-office processes,” Routh told Ignites reporter Sonya Swink. “And that’s even more true today with the price pressure on firms to reduce their costs.”
Routh emphasized that automation is crucial to optimizing processes, citing several Delta Data solutions.
“Whether it’s our Data Management product or our Fee Management product or our Revenue Management product, we’re automating very manual tasks, and our clients can reallocate resources to more strategic projects,” he said.
These solutions offer firms more operational scalability with straight-through processing, automation, and effective data management that allows operations teams to handle their data and their time more efficiently.
The complexity and the volume of mutual fund data continues to increase, which means it’s crucial for a financial service firm’s automation program to be robust, efficient, and all-encompassing to avoid manual processing errors, inefficient allocation of resources, and unnecessary risk.
When asked about the types of data relied upon by retirement recordkeepers, Routh emphasized the vast amount of data required and the accessibility needed.
“There’s a lot of data that they require,” Routh said. “For us, being in the pooled asset space, it’s data around the mutual funds or the CITs, and that can be everything they need throughout the firm – from trading to counterparty management.”
An integrated automated solution keeps data in sync with other sources while eliminating the need for maintenance of disparate data sources and manual data entry across multiple systems.
Having a complete view of the data management and operations allows the teams to add more value to the organization. A comprehensive automated solution simplifies the operation by taking on the process and the technology.
“They can rely on a centralized database that we offer, rather than having siloed databases across the company,” Routh added.
View the full Ignites video interview with Delta Data CEO Cameron Routh here. (Please note that you will need an Ignites subscription to access).
Contact us to learn how Delta Data’s automated solutions streamline mutual fund processes for improved efficiency of time and resources.