Despite advances in digital technology, eliminating errors is still the biggest data management challenge facing asset managers, suggests a recently published survey.
The research, commissioned by software firm InterSystems, found that more than half (54%) cited it as their biggest business challenge while 44% stated that it was the biggest driver for improving their data management processes and software.
One of the potential reasons for errors could be the timeliness of the data. Just 3% of the surveyed asset managers use data that is less than five hours old while 46% use data that it is more than 24 hours old and 17% rely on data that is more than a week old.
The survey also revealed the manpower required to process data, despite the availability of data management technology. According to the research, two-thirds of respondents (66%) require six to nine people to process the data requests of the business.
Furthermore, 41% of firms report that their IT personnel spend between 26 to 50% of their time servicing data requests.
“This research confirms that the top data management challenges for asset management firms are around access to accurate, timely, and trusted data in order to eliminate errors, inform investment decisions and better address compliance, risk management and client engagement needs,” said Joe Lichtenberg, Global Head of Product and Industry Marketing, InterSystems.
“To do this effectively, firms must minimise labour-intensive and error-prone manual processes that erode efficiency and create delays in order to adapt and thrive in this challenging new environment.”
The research canvassed 375 decision-makers at asset managers globally.