IT Trends and Spending Implications for the Securities & Investments Industry
Finding Opportunities Amidst the New Realities
Abstract
In the next few years, market and technology trends will have major implications for IT spending across both wealth management and capital markets firms.
This report, IT Trends and Spending Implications for the Securities & Investments Industry: Finding Opportunities Amidst the New Realities, highlights these trends and developments so that institutions can consider making investments, and IT vendors and other service providers can consider making enhancements to their solutions or else develop brand new solutions. Celent examines the powerful restructuring taking place within the securities and investments industry, where firms are evolving more rapidly now than ever before.
“Given the highly regulated environment in wealth management, firms are changing their strategies,” says Isabella Fonseca, Research Director with Celent’s Securities & Investments Group and coauthor of the report. “Wealth managers are optimizing technology to create new service models and channels for different customer segments. In particular, they are focusing on adding technology for advisors and providing best-in-class service for investors through self-directed tools and improved advisor-client relationships.”
“In capital markets, the evolution of market structure will drive much of the agenda,” adds David Easthope, Research Director with Celent’s Securities & Investments Group and coauthor of the report. “Infrastructure providers are undergoing significant transformation based on regulatory and competitive drivers, where there are new opportunities to expand across the value chain.”
On the sell side, with the implementation of new regulations, many firms will not be able to leverage their balance sheet to maintain the full scope of their dealing operations, and therefore are already repositioning their business models. Buy side operations are also under pressure due to regulations and evolving market structure. Finally, risk management is very much in the spotlight, as firms are continuing to embark on multiyear initiatives to strengthen and upgrade risk management related practices and systems.
This 26-page report contains four figures and five tables.