Compared to the rest of the industry, buy-side, sell-side, and insurance firms who prioritise digital transformation grow twice as fast, a Fidelity National Services (FIS) report has revealed.
The survey polled 1,500 senior level decision makers across the industry and explored where businesses currently sit in terms of automation, data management, emerging technology, digital innovation, client value, and risk management.
According to the report, the top 20 percent of respondents on the buy-side, sell-side and insurance firms achieved 3.88 percent average revenue growth over the past 12 months, compared with 2.12 percent growth for other respondents.
Meanwhile, 80 percent of those readiness leaders have fully or nearly fully automated key processes, compared with just 46 percent of other respondents.
Nearly half (47 percent) of firms surveyed said that their operations function is strong enough to support their growth plans this year, compared with 28 percent in 2017.
Additionally, 38 percent of respondents said that they want to significantly reduce the size of their owned IT infrastructure over the next 12 months.
Martin Boyd, head of institutional and wholesale at FIS, commented: “Our research shows that financial services firms can increase their abilities to accelerate their growth if they evolve their traditional operating model of data management, efficiency and risk management into one built on digital innovation, emerging technologies and advanced automation.”
He added: “Based upon our research, those firms that have been able to expand their focus and modernise their operating model should be well placed for success in the future.”
