Outsourcing of asset management operations is speeding up – and depending on your purpose you can choose different sweet spots along the scale from minimal outsourcing to full front-to-back. PostTrade 360° Stockholm saw Aite Group analyst Vinod Jain map the strategies you could pick from, and explaining what is driving it all.

“There has been intense competition in the market to make outsourcing look like a part of a cost saving model. But it needs to be asked what is the strategic outsourcing relationship and what is the goal ahead. Outsourcing can be looked at as one piece of it, but the from the asset management side it is mostly about identifying what it is, in the asset management operating model, that will define what the outsourcing should be,” says Vinod Jain.

Section markers are visible as white dots in the player bar:
• How outsourcing has developed (0:20)
• Key drivers and market implications (1:20)
• Four models – from minimal to full (3:20)
• The two approaches to front-to-back partnerships (4:50)
• Five platforms – different business models (9:40)
• The key considerations before outsourcing (10:50)

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PostTrade 360 Nordic 2024

In his session, Vinod Jain pioneered the event’s use of audience polls. A small but exclusive set of delegates responded as this table shows. Responders are not necessarily the same between the separate questions.