3 asset management trends you need to be aware of in 2021

by | Apr 6, 2021 | Blog, Digital disruption, Finance

Let’s be honest, the 2020 global pandemic threw a lot of things into the air.

From a slowing economy to the boom in remote working, it’s clear the landscape for 2021 is going to be packed full of unexpected curveballs.

With that in mind, it’s crucial to prepare for the emerging trends facing the asset management sector. Let’s look at those trends now.

Trend #1: Business resiliency and continuous learning

Perhaps the biggest takeaway from the pandemic is the clear importance of business resiliency.

This means that asset managers everywhere should do what they can to improve their firm’s adaptability and resiliency. Then, they’ll be better prepared to handle whatever lurks on the horizon.

Part of building business resiliency involves putting the right technology and systems in place so your business can remain functional at all times. As we’ve seen from the pandemic, your business needs to still function even if your offices can’t open. If you’re still struggling with home working, take a look at our complete checklist on remote working.

Another way to add resiliency is to support staff with on-demand, continuous learning programs. Online learning platforms, such as LinkedIn learning and Coursera, help provide that structure and are a great place to start.

Trend #2: Data-driven product innovation

Good, high-quality data is the lifeblood of the modern business. And, at risk of stating the obvious, if your firm can drive product innovation by focusing on the right data, you’ll out-perform other competing firms.

Unfortunately, a shocking 60 to 73 percent of data within most enterprise organisations isn’t analysed.

So, try to champion data analytics within your firm. Use more of the data you already have, and ensure you can confidently invest capital into the right places.

To do this, you can deploy tools like Power BI as part of the secure Microsoft 365 E5 enterprise solution. Using the power of the cloud, you’ll give every staff member the ability to make the most of data analytics and create a data-driven culture for your asset management firm.

Specifically, data analytics can help your firm:

  • Make unbiased investment decisions
  • Use alternative data to find new sources of alpha
  • Automate ingestion of big data for research
  • Upgrade trade-execution algorithms

Needless to say, at the heart of this data-driven approach, you’ll need modern IT systems to unlock the true value of your data.

Trend #3: Going ‘cloud-first’

Yes, you’ve heard it before – the cloud is a crucial investment for ambitious businesses.

But, now’s the time to take it more seriously and use the power of the cloud to increase the scalability and productivity of your asset management firm.

For example, cloud-based applications, such as Power Automate, make it easy for your staff to automate processes and streamline everyday tasks (without them even having to know code).

The question is: are you going to try to modernise your technology yourself? Or, look for support from those who have been there and done it?

Partner up with those in the know

As asset management firms look to get the most from 2021, it’s hard to ignore the importance of modern technology.

That said, it can be difficult to make changes quickly and cost-effectively when in-house IT teams either lack the experience or feel over-stretched. So, whether you need help moving applications to the cloud, revamping IT security, or adopting innovative new technology, it’s good to get a helping hand.

Want to find out how the Chalkline team could help? Please reach out today.

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