Asset managers are moving away from concentrating on regulation as a chief concern to the business of investing, results of a buy-side survey produced by technology provider Linedata have shown.
The research found 49% of firms quizzed still see regulation as the chief concern, while 47% cite investment performance as their firm’s key challenge. For future challenges, however, 48% see investments as the top challenge, while 45% said regulation was top.
According to Gary Brackenridge, global head of hedge fund business for Linedata, the results tally with anecdotal evidence from clients.
“In the past few months, clients have begun asking more questions around launching new products, entering new asset classes and upgrading technology, whereas a year ago, discussions revolved around meeting new regulation,” he told theTRADEnews.com.
He said buy-side firms had adapted to the near-constant spate of regulatory change by establishing relationships with consultants, lawyers and technology providers to help meet to new rules on a rolling basis.
“Asset managers are moving back to focusing more on the core business of investing, which is a positive sign for the industry bouncing back from a time of high-volume regulatory change,” he said.
Brackenridge said there was greater interest among asset managers for cloud-based solutions, while 51% of respondents calling for greater use of mobile devices, a level possibly dampened by security fears.
Nearly half of respondents represented North American asset managers, with 36% coming from the UK, 14% mainland Europe and 3% from other regions.