Securities processing systems play a critical role in middle and back office operations within self-clearing broker dealers, facilitating clearing and settlement and maintaining the firm’s official books and records. Determining the optimum time to adopt or replace a securities processing system and the amount to budget and spend that best aligns with a firm’s business model and goals can be difficult to determine. Broker dealers are hesitant to replace their current processing system mainly due to the cost, time, and effort entailed in consolidating systems and operations across currencies, products, and geographies, which likely necessitates a multi-year project. Suppliers of securities processing technology will be challenged to grow new implementations against the backdrop of firms’ low propensity for replacing securities processing technology, and will need to find new methods of attracting clients such as customized outsourcing arrangements.
Wealth Management members can access Adoption and Investment in Financial Services Technologies: Securities Processing to understand the industry’s planned adoption and replacement of securities processing systems, age of current technology, average annual spend, and expected budget changes.
More about the Survey
Adoption and Investment in Financial Services Technologies is a series of reports that provide findings on the current state of technology, installation dates, and spend and budget change for 94 areas of technology across financial services, including 14 focused on wealth management. The reports are based on CEB TowerGroup’s survey of over 200,000 technology experts and executives between December 2011 and February 2012.
By leveraging the Adoption and Investment reports, wealth management executives can learn more about the current technology landscape and make better informed decisions by utilizing the three distinct components of the offering. These components include:
State of Technology: This section provides an overview of the current state of securities processing systems implementation in the wealth management industry, highlighting planned adoption and replacement.
Installation Dates: Executives can review projected installation dates for those firms indicating they plan to adopt or replace their securities processing system, and also see the relative age of currently installed securities processing systems across the industry.
Spend and Budget Change: Not only can executives review the average annual spend of firms that have or plan to adopt/replace their securities processing system but they can also review the expected IT budget change for securities processing systems among their peers in the wealth management industry.
To learn more, Wealth Management members can download Adoption and Investment in Financial Services Technologies: Securities Processing.