When it comes to sell side, customer relationship management is vital. To retain existing customers and acquire new ones, sell side firms need to keep ahead of the competition in terms of offering services and a customer experience that sets them apart. They need to become a customer-centric firm.
A part of implementing a customer-centric strategy is building a comprehensive investment analytics data warehouse and master data management repository containing relevant and accurate information about customer investing history. This is important to provide timely, accurate and relevant client reporting, and to be able to report internally such as across asset classes, customer profitability, expense ratios and organization reporting hierarchies. Typical data types to support internal and client reporting include:
- Multiple asset classes such as equities, fixed-income, derivatives, currencies, swaps, options, futures, and commodities at any time granularity, including prices, yields and exchange rates
- Portfolio and fund positions and performance analyses including portfolio reporting, GAAP accrual accounting and tax reporting
- Corporate events such as stock splits and acquisitions
- Market and user-defined statistics such as alphas, betas, volatilities, and moving average prices for equities.
A comprehensive customer-centric data strategy doesn’t end with the reporting of customer account positions and performance. Through enrichment with third-party external data, an Investment Analytics data warehouse and master data management repository is the foundation for proactive analytics of current and potential customers. An effective investment analytics data warehouse and master data management can enable your firm to:
- Offer more personalized prescriptive investing advice to existing clients to improve customer experience and reduce churn
- Create upsell and cross sell opportunities
- Create effective and targeted customer acquisition and marketing initiatives.
- Better understand and manage risk and exposure across the organization