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Front Office Client Challenges

List of Challenges Our Clients Face in the Front Office

Investment Book of Record

The Investment Manager's front office environment continues to increase in complexity. The necessity to trade and manage more complex instruments and strategies is overlaid with the need to control operational risk and meet the expanding suite of regulatory requirements.

Increasingly, Investment Managers are seeking to employ derivative instruments as cornerstones of portfolio construction. ISC combines an understanding of the intricacies of these instruments with knowledge of the external systems landscape and the relative strengths of offerings available in the marketplace. We work with our clients to understand the systems framework in place across the organisation and ensure that the impacts on touchpoints - from idea generation through trading and on to operational areas - are considered and the associated risks are controlled.

ISC has an excellent record of working in partnership with clients to analyse, select and implement front office systems. It is an approach rooted in pragmatism, delivering robust, flexible investment platforms sensitive to the constraints of the wider organisational systems landscape and operating model.

Front Office Systems Selection

As front office investment requirements have increased in complexity and the regulatory environment has developed to require greater evidencing of the basis for investment decisions, investment professionals requirements for more complete, accurate and timely provision of positional data have become a major focus for the industry.

Front offices increasingly see the benefit of breaking the dependence on the back office as provider of positional data, especially where the decision support systems follow a traditional 'kill-and-fill' positional data process providing a start of day view augmented by intra-day trades. Front offices require a model where this view is augmented by a full range of intra-day non-trading transactions enabling them to take investment on the basis of the most complete information available. A further complexity may arise where managers are relying on information from multiple administrators often with diverse operating models.

ISC can assist in helping to develop the requirements relevant to our clients' needs and operating models and providing pragmatic support for solution design and implementation.

ISC Front Office Capabilities