Key Challenges

The client, a $50 billion mutual fund and institutional asset manager, had outgrown their portfolio accounting platform, which, among other deficiencies, lacked multicurrency support. Over the years the client had implemented a number of MS Excel-based workarounds to address functional gaps which increased the operational risk profile of the firm. Their in-house developed data warehouse was a highly customized and integrated solution that evolved to supplement the core investment application systems. Altogether, these processes were not scalable, lead to duplicate data validation efforts and left little time for value-added investment, operations and compliance activities.

InvestTech Solution

InvestTech performed a comprehensive investment operations and trade settlement business process review engaging front, middle, and back office personnel. In addition, InvestTech facilitated an investment accounting and performance measurement evaluation and selection that aligned the client’s requirements with the leading vendor products. Working with the client, InvestTech led a portfolio accounting and performance measurement system evaluation using our proven Evaluation Framework and Scoring (EFS) methodology. This framework assists clients in making the right systems and outsourcing decisions based on the full extent of requirements and the client’s decision criteria.

Results

Based on the investment operations review, low value-add activities were identified and a number of quick-win resolutions were instituted immediately, while other enhancements were incorporated into the upcoming investment accounting and performance measurement replacement project. InvestTech also recommended a future-state application architecture and an improved data workflow that transitioned risk away from the in-house database and harnessed the capabilities of the existing vendor data management solution. The new data workflows relied on standard interfaces / adapters that minimized implementation efforts and created a smaller maintenance footprint for the organization. After a portfolio accounting and performance measurement solution was selected by the client, InvestTech played several key roles including implementation planning, day-to-day implementation project management and vendor management, as well as technical and functional interface specification and development assistance, testing, and knowledge transfer.

Why InvestTech?

InvestTech’s expertise in every aspect of system implementations and project and vendor management was critical to the success of this project. By understanding the entire organization’s functional and data needs and focusing on critical project milestones identified by the InvestTech project manager, this client was able to accelerate the implementation timeframe and successfully transition to a new application architecture and a more efficient and automated investment operation.