ACA Technology's Product Spotlight series highlights how ACA's technology solutions can help firms streamline operations, scale for growth, and meet business objectives effectively and efficiently.
Client Type: An Investment Manager with $19B AUM
A growing investment management firm with approximately $19 billion in assets under management was experiencing business challenges due to having a mix of disparate software systems and home-grown applications. In order to produce firm-wide reporting, their team had to manually combine data from a wide variety of sources, some of which was not readily available. This process was time-consulting and required excessive human capital; it also resulted in errors and delays that inhibited their ability to grow and scale their business. In addition, the firm was running its direct, non-fund investments through a manual, spreadsheet-driven process that was inefficient and error-prone, resulting in less time spent on managing their client’s investments.
The ACA Technology Solution
ACA Technology successfully implemented ACA's NorthPoint Investment Management System (NorthPoint IMS) and ACA's NorthPoint Data Management Solutions (NorthPoint DMS) to consolidate the firm’s data sources and optimize their firm-wide operations.
The NorthPoint DMS, which includes the Data Warehouse and Security Master modules, consolidated the firm’s multiple data sources into a single investment and security reference data repository for both their private fund and direct investments. This provided a golden source of data required for a variety of operational functions, including CRM, risk management, and performance reporting. The NorthPoint DMS allows the firm to leverage the systems that support these functions in a best-in-class model by centralizing all firm-wide information into an easy-to-use Data Warehouse with both as-of and knowledge date support. In addition, ACA helped the firm successfully integrate all of their internal and third-party systems.
In addition, ACA implemented the NorthPoint IMS, which provides order management and portfolio management functionality for the firm’s direct, non-fund investments. This includes ETFs, index swaps, FX hedges, and other directly traded securities in which the firm transacts. The NorthPoint IMS combines straight-through processing from a variety of execution sources with real-time attribution of P&L and cash across the firm’s trading strategies.
The firm now has a centralized Data Management platform and Data Governance model that matches their unique strategy and business workflows while aligning with their current and future business needs. This has increased their operational efficiency and streamlined their firm-wide reporting process. They are now able to access data from a single source while keeping their best-in-class vendor model intact.
In addition, with the NorthPoint IMS, the firm is able to run their passive and hedging trading strategies without relying on a spreadsheet, allowing them to effectively manage their portfolios without unnecessary manual data entry.
About the Author
Johan Glozman is a Managing Director at ACA Technology. Johan has more than 20 years of software consulting and product implementation management experience working with various investment strategies and business functions in the capital markets sector. As a member of the ACA Technology leadership team, Johan manages product design and direction. He also helps clients define their overall requirements and oversees implementation teams to ensure delivery of needed solutions. Johan’s deep domain expertise in hedge funds, asset management, and technology makes him a valued adviser to clients and assures their satisfaction. Before joining ACA Technology, Johan was a consultant specializing in software solutions. He worked with a variety of firms—BISYS Hedge Fund Services (now Citi Fund Services), State Street Research (acquired by MetLife), Philips Medical, and Biogen IDEC, for example—to help solve technical problems via a business-focused approach. Early in his career, Johan served as a consultant with Granitar, Inc. and Kanda Software, Inc., taking on roles such as a business analyst, project manager, software architect, and “hands-on” developer.