LONDON--(www.investit.com), commissioned by RIMES Technologies, a leader in index and benchmark data management, has revealed the challenges faced by investment managers in assessing their data management processes and established a best practice framework to help enable them to identify areas for improvement.)--A new study by Investit (
“Managing index data and benchmarks presents significantly different challenges to other data types. Benchmarks are critical to investment management and although they are growing in volume and complexity, there had previously been no way to measure the effectiveness of the processes a company has in place to manage them.”
When the framework was applied to 18 investment management firms in the US and Europe, it revealed that over two thirds (67%) of investment managers have weak data governance, failing to focus their data spend, and almost a third (28%) of investment managers have weak data processing, receiving data in inconsistent formats and not at the optimal time.
Christian Fauvelais, CEO and co-founder of RIMES, comments: “Managing index data and benchmarks presents significantly different challenges to other data types. Benchmarks are critical to investment management and although they are growing in volume and complexity, there had previously been no way to measure the effectiveness of the processes a company has in place to manage them.
“We are committed to helping the buyside improve their data governance, tighten control and reduce data management costs. With the publication of this study we have quantified the major challenges and developed practical methods that can benefit the entire industry.”
Catherine Doherty, Founder and CEO of Investit comments: “Investment managers must focus on data governance if they are to align themselves more closely with best practice. This study revealed that even when managers are proficient at controlling the purchase of new index data and benchmarks, they are exposed to the risk that they are processing data that is no longer required by the business. In today’s cost-sensitive operating environment, this risk is unacceptable.”
Founded in 1996 specifically to serve the complex data needs of the buyside, RIMES Technologies Corporation is a specialist provider of managed data services and one of the pioneering adopters of cloud-based technology to deliver highly customized financial data over the internet. Delivering world-class data, supported by first-class service remains a focus of RIMES today.
RIMES is a unique global company, combining the best people with the most forward-thinking technology. The RIMES team of experts has unparalleled practical experience, gained at the heart of the industry, enabling them to deliver this service to over 200 institutions in 36 countries across the globe.
The RIMES Benchmark Data Service® (RIMES BDS®) provides data in a format that is ready for use in third party or proprietary client applications. All data supplied by RIMES is validated and thoroughly checked for accuracy. This frees clients to focus on their core business issues and enables them to become more agile and streamlined.
RIMES BDS is used by a cross-section of buyside firms. Customers include investment managers, pension funds and custodians. RIMES BDS manages their entire benchmarks data workflow and contains all the data they need to operate efficiently. www.rimes.com
Investit is a global research and benchmarking informed consultancy specialising in creating efficient operations and technology processing at financial services companies.
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