While US asset management firms clamped down on technology spending in 2009 and 2010, the majority of Canadian asset managers plan to continue investing in IT spending, typically utilizing third-party vendors, according to a report from Aite Group.
The report researched trends and expectations of Canadian asset managers in their relationships with technology vendors and service providers.
Projects underway, according to the report, include trading, portfolio management and accounting systems, and client relationship and reporting platforms. The report found that further operational improvements will continue to initiate activity in data management, reporting, connectivity, and performance areas. All are critical to supporting compliance with new regulation and client requirements expected over the next several years, Aite says.
Canadian asset management firms have been able to capitalize on their ability to weather the financial crisis, investing in technology and infrastructure in anticipation of a global recovery and increasingly stringent regulatory environment, says Denise Valentine, senior analyst with Aite Group and author of the report. 2011 is off to a good start for technology vendors selling in Canada as Canadian asset managers continue improvements in overall architecture and applications.