Why it makes sense to outsource client reporting operations


Monday, May 3, 2021 | By Mike Kendall, Director, Head of Client Communications Solutions, SS&C Institutional & Investment Management

Why it makes sense to outsource client reporting operations

The events of 2020 drove an uptick in outsourcing operations across the investment management industry—and for good reason. Most firms were suddenly working with a distributed workforce on a scale and duration never seen before. This new operational model came by force and with little time to prepare. Firms coped with the changes remarkably well, but many realized outsourcing aspects of their operational model, from the back office all the way to the front, would help them survive the current challenges and thrive in the future. 

Firms that decide to outsource aspects of their investment operations cut costs and fill resource gaps, and in this latest wave of outsourcing activity, they are also realizing the benefits of partnering with organizations that allow them to focus on their core competencies. Firms are thinking differently about outsourcing; even the most critical of operations are now open for consideration. 

One critical aspect of any investment or wealth manager’s operations is providing timely, accurate and accessible client communications and reporting—an area ripe for outsourcing consideration.  An outsourcing partner can handle the natural volume spikes driven by reporting periodicities (monthly, quarterly, annually), so a firm need not drop everything and scramble to get a report out. The service partner can also bring the latest technology, automation and workflow capabilities to the task, so a firm can leave behind manual processes and/or custom-built solutions that require regular technical resource intervention. 

It makes sense to outsource client reporting, and other aspects of investment operations as applicable, to a partner who can help firms:

  1. Achieve operational scale—the automation and elasticity afforded by an outsourcing partner can arm your business to grow, and your reporting capabilities to expand in lockstep.
  2. Acquire domain expertise—an outsourcing partner brings knowledge, best practices and experience to the complexity and intricacies of a truly robust, client-centric reporting program.
  3. Focus on core business needs and serve clients better—firms free up time and resources to  concentrate on what really moves their business and serves their clients
  4. Reap all the benefits of technology with minimal upfront and ongoing investment—an outsourcing partner offers software and crucial infrastructure as part of its service, so getting started is an onboarding exercise—not an implementation—and any software and system updates made by the service partner in the future flow through to the benefit of the client.
  5. Gain operational resiliency—outsourcing reduces key person risks and puts the onus on your partner to maintain and groom the applicable technical environment, including a secure and reliable data center, to reduce strain on and extend the effectiveness of your technical organization.

SS&C has been providing outsourcing services, with our leading software solutions, to our clients across the globe for more than 25 years. With a proven track record of operational excellence, we bring technical and process innovation and robust service-level agreements to any outsourcing services that we provide, and would gladly discuss how we could help your firm benefit from partnering with us. We are equipped to take on varied aspects of investment operations while you drive your business forward. If you would like to learn more about our Reporting as a Service offering, powered by our market-leading reporting technology, Vision FI, please download our "Reporting as a Service" brochure.



Asset Management, Wealth Management


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