The client is a distinguished Investment Management firm, known for its prominent standing within the industry and a vast client base.
The firm encountered a series of formidable challenges in their data management and reporting procedures. The firm’s operational efficiency was adversely affected by the complexities of managing multiple systems. Recognizing the need to address this situation effectively, the client sought to enhance performance and profitability.
Our client encountered the following pressing issues:
1. Time Consuming Data Integration
Compiling and aggregating extensive datasets, which was a time-consuming and resource-intensive process. Dealing with complex reporting tools that lacked user-friendliness and required intricate configurations and technical expertise. This complexity hindered the timely access to critical insights by investment advisors and managers.
2. Managing Multiple Systems
Navigating the intricate landscape of diverse platforms posed a significant challenge for the client. Maintaining data consistency and accuracy across the diverse range of systems and platforms came with its own set of complexities.
The AdfarTech Solution
To effectively address these pressing challenges, our client sought support from AdfarTech. The developed solution brought about significant enhancements in the data management and reporting processes, as outlined below:
- Hypernova served as a versatile abstraction layer, simplifying the interaction between consumer applications and core accounting systems. It effectively shields the consumers from the complex functional intricacies brought by each underlying system.
- Hypernova seamlessly integrated with reference data sources such as Markit EDM and CRM systems, introducing a composable approach to data management. This integration facilitated the establishment of a singular and trustworthy source of truth for all asset and wealth management operations.
- Hypernova was thoughtfully designed using a domain-driven approach, meticulously addressing various aspects of asset and wealth management. This encompassed Portfolio Accounting (Geneva), Open Fund Accounting (InvesTier), Closed Fund Accounting (FIS Private Capital Suite (Formerly Investran)), and Family Office (ATWeb), providing comprehensive support across the board.
- The solution provided a transparent view of fund, investor and investments across the three domains: positions, performance and transactions. This was integrated with reference data sources enabling a composable approach to where data is managed. The framework has been depicted below:
- Modern Distributed Architecture: Hypernova’s deployment introduced a modern distributed architecture that enhanced the client’s overall data management capabilities. This architecture allowed for efficient data processing and streamlined interactions between various systems.
- Enhanced Data Performance: Hypernova’s integration with core accounting systems and reference data sources significantly improved data performance. This resulted in faster data retrieval and reporting, empowering investment advisors and managers to make more informed decisions swiftly.
- Streamlined Data Management: With Hypernova serving as an abstraction layer, the client could navigate and manage multiple systems seamlessly. This streamlined approach simplified data integration, reducing complexities in handling diverse platforms and systems.
- Data Consistency and Accuracy: Hypernova’s integration with reference data sources, such as Markit EDM, established a single, reliable source of truth. This ensured data consistency and accuracy across the entire spectrum of asset and wealth management operations, reducing errors and enhancing reliability.
- Comprehensive Support: The domain-driven design provided comprehensive support for various aspects of asset and wealth management, including Portfolio Accounting, Open Fund Accounting, Closed Fund Accounting, and Family Office. This comprehensive coverage allowed for a unified and holistic view of operations.
- Transparent View of Data: The solution provided a transparent view of fund, investor, and investment data across different domains, including position, performance, and transaction. This transparency facilitated better decision-making and improved client service.
- Composable Data Management: Hypernova’s integration with reference data sources enabled a composable approach to data management. This flexibility allowed the client to efficiently adapt to changing data needs and scale their operations.
The implementation of Hypernova brought about transformative results for the client:
- By consolidating business logic into a single layer, all downstream applications were ensured they always had the correct information and clients no longer saw inconsistencies between different sets of applications within the same ecosystem. This has reduced reported data issues by 75% and the time spent researching across the organization by 90%.
- By creating a single source of truth based on the services provided it accelerated internal development and allowed for exposing the services to clients that were identical to what was being used internally. The exposed external services created a new revenue stream and increased the integration of client’s technology to the overall platform.
- Before the data hub accelerator, each application needed to implement custom logic to ensure that they were meeting the needs for different clients and products. After implementation, this was eliminated from the application team’s backlogs allowing them to better use that capacity on delivering more features directly related to their application. This resulted in an acceleration of feature deployment between 20-70% depending on the product development team.
- When changes were made to existing logic, it needed to be updated for every instance it had been implemented. This created a large maintenance burden of tracking where custom logic was implemented, spending the time to update, testing every update, and then deploying all the changes. After implementing the data hub accelerator, this maintenance was consolidated to a single instance of the logic to be maintained bringing most team’s efforts in this space to 0. This has reduced the time required to make these changes from 4-6 weeks to 2-3 days.
- Client onboarding and new product launches have been accelerated 60% due to the decreased dependency across the technology ecosystem. Consuming applications do not know what source system data is coming from, or even if custom logic exists on top of that data. It has simply become a matter of setting the new client up as an entity within their application.
- By abstracting consumers from the source of the data, it allowed for more flexibility in source systems and a composable architecture. Certain products were moved from one system to another with no impact to data consumers. It is also being used to facilitate the sunsetting of one core system in favor of another that can move on an independent timeline instead of being tied to dependencies and capacity issues throughout the entire enterprise.