Investment managers have adopted either best-of-breed approaches to technology or all-in-one systems. Neither of these are great solutions for today’s operating models.
A best-of-breed approach means many systems, glued together by manual processes and spreadsheets on the side. This is a costly setup, with high risk of errors when data gets passed between systems.
The polar opposite, an all-in-one system means a choice to take a broad solution that covers many areas but either lack an edge (especially in the front office) and/or is built on old technology that’s slow to evolve and expensive to upgrade.
The core of a modern Front to Middle Office solution must be a live extract IBOR. This ensures that any business capability the solution has, is relying on the exact appropriate position and cash data.
Next comes the business capability layer, which include Order Management (OMS), compliance, risk, Portfolio Management (PMS) and more.
The third layer is connectivity and data quality controls. To get data into and out of the Front-to-Middle Office platform is critical. Business users should be able to configure such connections, relieving you from dependency on either vendor or developers.
However, it doesn’t stop at just data transmission, it needs to also include controls of that data. For example, did all data arrive or get sent as expected? Instead of manually checking, the system should be exception-based and alert you of any suspected issues.
Best-of-breed solutions are costly and leave holes in the data front office sees.
All-in-one solutions doesn’t optimally support your unique alpha-generating workflows in the Front Office.
Limina IMS delivers a solution to both of these challenges at the same time