2024 InvestOps Europe Recap: A Call to Action for Investment Operations

Last week’s 2024 InvestOps Europe Conference highlighted critical trends and strategic imperatives for technology and operations leaders across the global asset management ecosystem. From asset managers and asset servicers to the providers and consultants who support them, the message was clear: the time to embrace transformation is now. Here are some key takeaways from the conference to consider.

Adapt or Fall Behind

One of the strongest messages coming from the conference was that the cost and risk of not adopting modern technology, particularly cloud-based solutions, will far outweigh the initial investment. While some firms may hesitate to overhaul legacy systems, the long-term benefits of modernizing far surpass the risks of staying static. It’s a simple equation: thrive or merely survive?  The industry is facing a transformation, and those who embrace it will flourish as their paths are forged for the future.  

Profitability, Data, and Modernization: Key Industry Drivers

The global asset management ecosystem is experiencing pressure from multiple forces. The key drivers pushing this transformation include:

• Profitability challenges in a competitive market
• The rise of data-centric strategies for better decision-making
• The digitization of customer experience 
• New and evolving investment products
• The growing need for operational resilience (e.g., DORA)
• Continued M&A activity

Private markets, in particular, are expected to be a major focus moving forward as firms learn to navigate the nuances of varying private market asset classes. Back-office talent optimization is also becoming critical areas for asset managers and their service providers.

Strategic Focus Areas for Asset Managers

Looking ahead, asset managers must prioritize several areas to stay competitive and drive future growth:

1. Data-Driven Decisions: Leaders need to empower their organizations with the ability to make informed, data-driven decisions. This will enable firms to stay ahead of the curve in terms of competitive edge, acquisition opportunities, and global expansion.
2. Client Experience: Optimizing client experience through centralized, efficient workflows will differentiate firms in a crowded market.
3. Tech-Forward Talent: Hiring the right technology talent is crucial to driving these initiatives forward and ensuring that firms are equipped to meet future challenges.

In the words of one speaker,

“Deciding what you’re not going to do is just as important as deciding what you will do—and then sticking to that.”

Leadership requires clarity, focus, and alignment on how decisions are made and the criteria by which those decisions are judged.

2025 Tech Priorities: A Roadmap for Modernization

Technology modernization is central to the transformation of investment operations, and the conference outlined several top tech priorities for 2025:

• Eliminating technical debt: Moving away from patchwork systems and legacy tech to streamlined, integrated solutions.
• Migrating to SaaS-based operations: Cloud-native, Software-as-a-Service (SaaS) solutions will provide greater flexibility, scalability, and efficiency over traditional on-premises platforms.
• Standardizing operations: Acquiring tools that reduce data complexity and standardize processes across both internal and external data sources.
• Tech integration: Developing platforms that can seamlessly integrate with other tools and systems, minimizing duplication and simplifying workflows.
• Building adaptive tech teams: Recruiting and developing teams that can embrace and drive continuous technological evolution.

Looking Beyond the Status Quo

As strategic and operational leaders, the challenge is to look beyond the status quo. It may seem easier to stick with what works now, but leaders must ask themselves if they want to leave a legacy of short-term fixes or long-lasting benefits that extend well into the future. It’s about making the hard choices today—whether that’s eliminating redundant systems or deciding to focus on long-term infrastructure vs. chasing every new trend—and then committing to those decisions with discipline.

The industry is evolving, and asset management operations need to evolve with it. Those who leverage technology to enhance decision-making, operational efficiency, and client experiences will be well-positioned to lead the future of asset management.

The 2024 InvestOps Europe Conference made it clear: the future of asset management operations hinges on modernization, strategic decision-making, and tech-forward leadership. For those willing to embrace change, the future is bright.

Change, Powered by FundGuard

FundGuard, in close collaboration with clients and partners are reshaping the future of investment accounting, and we invite other industry leaders to join us on this transformative journey. Connect with us to learn how FundGuard can help your organization unlock new efficiencies, drive growth. We look forward to working together to power the next generation of investment operations!