Financial firms are ramping up their digital transformation agendas, but according to Broadridge’s 2025 Digital Transformation & Next-Gen Technology Study, the industry’s progress continues to be hampered by legacy infrastructure and fragmented data landscapes.
Based on insights from more than 500 operations and technology leaders globally, the report reveals that data harmonisation has become a critical barrier—and opportunity—for firms seeking to modernise. A unified front-to-back platform across regions and asset classes topped the wishlist of respondents when asked what would most accelerate their transformation. Yet many still struggle with siloed data and inconsistent systems, which undercut the potential of technologies like AI and automation.
Cloud infrastructure remains the foundation for scalability and agility, with 86% of firms already integrating it and 84% making moderate to large investments in 2025. Cybersecurity is also high on the agenda: 87% of respondents intend to increase their investments, even as over a third of firms still lack embedded cybersecurity tools within core operations.
GenAI adoption surges
Artificial intelligence continues to gain ground, with 72% of firms committing moderate to large investments in generative AI, nearly doubling from the previous year. While AI’s role is expanding across workflows, its effectiveness is still seen as heavily dependent on clean, consistent data.
Legacy systems hold back
Though 58% of firms report having a clear data strategy, nearly half still cite challenges with data silos, and 40% acknowledge issues with data quality. The shift from bolt-on solutions to integrated platforms is seen as essential, especially as firms increasingly allocate a larger share of IT budgets, 29% in 2025, to innovation.
As digital transformation efforts mature, the study suggests that firms able to align data governance with next-gen technology stand the best chance of achieving operational resilience and long-term efficiency.
