From Their Viewpoint

Date: May 10, 2012

I’ve read many articles about why companies should move to the cloud. It’s true the benefits to the buyer are vast, but what about the client? What if we could read clients’ minds? Perhaps this is what they would be asking….

Client A: It’s 7:00 am. I just looked at my Smartphone and the Eurozone crisis seems to be putting more and more countries and companies at risk. How fast can you tell me what’s happening with my portfolio based on what’s going on there?

My answer: Immediately – cloud-based portfolio management tools software let allows asset managers immediately see the status of their clients’ investments, view performance as of last night’s close and make recommendations based on current market conditions.

Client B: What if Japan were to happen again? What if Greece defaults? What if another Lehman collapse happened? How would that affect my money?

My answer: Obviously, this answer would vary from client to client, portfolio to portfolio. But it’s a valid point. Today, clients need to understand how macro events impact their investments. They’re getting more and more demanding. The best portfolio analysis tools enable stress-test scenarios that show how a major event would affect an individual portfolio, and thus enable dialogue and decision-making between client and advisor.

Client C: So you’re using new cloud-based technology – I guess this costs me more?

My answer: In the post-Madoff world, clients are more sceptical than ever about the structure and transparency of their advisors’ fees. New technology investments have to be seen to be adding value, not cost. When matching IT solutions such as the cloud, with client and regulatory demands, it’s important to evaluate a solution both on the criteria that matter to your clients and your requirements. Here are a few tips:

  • Can you show the latest analysis, now? Static paper reports are becoming obsolete; your clients and often regulatory bodies will need to see what you are seeing, in real time.
  • How secure is it? Great IT solutions include both security and stability – front office portfolio performance measurement is only as strong as the underlying data that supports it, and a client’s information is only as safe as the security infrastructure that surrounds it.
  • Can you see the risk? You’ve got to have the capability to make risk assessment and portfolio performance analytics very easy to see and understand at-a-glance.

Even in the midst of regulatory uncertainty, you can choose a solution that supports your IT agenda, meets and exceeds clients’ requirements expectations by choosing solutions that are flexible and adaptable. This is the cloud. Cloud-based solutions help give you that flexibility, making it easier to adapt to changing legislation while keeping your clients happy.

Learn more about cloud computing:

The do’s and dont’s of cloud computing – StatPro Cloud Summit 2012 

Check out Neil Smyth (@Neil_StatPro), Technology and Marketing Director at StatPro presentation from the StatPro Cloud Summit 2012 which covers the do’s and don’t’s of cloud computing. Neil provides a comparison of traditional hosting versus SaaS and cloud computing, including an interesting look at how one compares to a housing estate and the other to a hotel. He then moves on to providing top tips on selecting a cloud computing vendor, including the key things to look out for such as infrastructure, security, scalability and the business model.

the PowerPoint now
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