Fund Managers’ Guide to Asset Management Systems 2024

February 9, 2024

In the dynamic world of investment management, selecting the right technology platform is pivotal to success. With a myriad of solutions under the broad umbrella of “Asset Management Systems,” each one deserves careful consideration, depending on your unique needs. For a more detailed approach to selecting an appropriate system for fund managers, we invite you to review our article.

To assist in this endeavor, we have compiled the list of off-the-shelf systems available on a market. This compilation, though extensive, represents just a fraction of the diverse possibilities that you can find. Each system, with its distinct features and capabilities, deserves a thorough evaluation based on your specific operational needs.

The terms “asset management system” and “investment management system” are often used interchangeably in the financial industry, but there can be subtle differences in their focus and functionality. Let’s take a closer look at what they represent:

Broader Scope: Asset management systems generally have a broader scope, encompassing the management of a wide range of assets, which could include financial assets (like stocks, bonds, and derivatives), as well as non-financial assets (like real estate, equipment, and infrastructure).

Operational Focus: These systems often integrate operational aspects like asset maintenance, lifecycle management, and valuation, especially for physical assets.

Portfolio Management: In a financial context, they assist in portfolio management but may also include functionalities for asset allocation, diversification strategies, and long-term asset planning.

Applicability: They are used by a variety of entities, from investment firms managing financial portfolios to companies managing physical assets.

Financial Assets Focus: These systems are specifically designed for the management of financial investments and are more focused on securities and financial instruments.

Investment Strategies and Analysis: They typically include tools for market analysis, research, trading, portfolio strategy, and performance measurement.

Risk and Compliance: Investment management systems often have robust functionalities for risk management and regulatory compliance, tailored to the investment industry.

Client Servicing: These systems may include features for client reporting, billing, and relationship management, particularly in wealth and fund management contexts.

In practice, for investment firms and fund managers, the distinction might be less clear, as both types of systems can offer similar functionalities like portfolio management, reporting, and risk analysis. However, for organizations managing a mix of financial and non-financial assets, an asset management system might be more appropriate due to its broader scope and operational capabilities.

To further enhance your understanding of how trading software can play a crucial role in maximizing efficiency in fund management, delve into our comprehensive guide, ‘Maximizing Efficiency in Fund Management: A Comprehensive Guide to Trading Software.‘ This resource is designed to equip you with the knowledge to leverage technology effectively in your operations.

Where do you begin with so many options and what is an Asset Management System?

The core of an asset management systems is a sophisticated platform designed to streamline the complex processes of order, portfolio, and investment management. As we delve into the world of asset management systems, it’s essential to understand the nuances of these systems and how they can significantly enhance the operational efficiency and decision-making capabilities of asset managers.

At the heart of asset management systems are functionalities that cover the breadth of investment operations. Order Management Systems (OMS) are integral for facilitating efficient market transactions, while Portfolio Management Systems (PMS) provide the tools necessary for managing investment portfolios. Investment Management Systems (IMS), on the other hand, offer comprehensive solutions for asset allocation, risk analysis, and strategic planning. Execution Management Systems (EMS) complement these by focusing on the intricacies of trading, ensuring seamless execution of trades.

Charles River IMS and BlackRock Aladdin stand out as frontrunners in the OMS category, offering robust solutions that integrate trading, risk analytics, and operations. Bloomberg AIM and SimCorp Dimension further enrich the landscape with their versatile investment management solutions.

  • Charles River IMS

    Comprehensive solution for portfolio management, trading, compliance, and risk analytics.

  • BlackRock Aladdin

    Integrates risk analytics, portfolio management, trading, and operations.

  • Bloomberg AIM

    Provides tools for trading, portfolio, and risk management.

  • SimCorp Dimension

    Versatile investment management solutions, including asset servicing and reporting.

  • SS&C Eze OMS

    Offers a complete suite for managing investments, including order management and portfolio monitoring.

  • FactSet OMS

    Delivers data management and analytics for portfolio construction and order execution.

These platforms exemplify the integration of comprehensive data management, analytics, and execution capabilities, catering to the dynamic needs of today’s asset managers.

  • Tradair OMS

    Offers trading solutions with a focus on execution and portfolio management.

  • Fidessa OMS

    Trading, investment, and information solutions for asset managers.

  • FlexTrade EMS

    Execution management with features for portfolio management.

  • Eze EMS

    Execution-focused platform for trading efficiency with asset management capabilities.

  • INDATA iPM

    Advanced technology platform for trading, portfolio management, and compliance.

  • Refinitiv AlphaDesk

    Cloud-based order management system for real-time visibility into investments.

Transitioning to Portfolio Management, systems like Advent Portfolio Exchange (APX) and Black Diamond Wealth Platform elevate the standard for portfolio accounting, reporting, and client management.

  • Advent Portfolio Exchange (APX)

    Portfolio accounting and reporting solution for asset managers.

  • Black Diamond Wealth Platform

    Provides portfolio management, reporting, and rebalancing.

  • Envestnet | Tamarac

    Portfolio and client management tools for advisors.

  • Orion Portfolio Solutions

    Comprehensive portfolio management and reporting solutions.

These solutions empower advisors and asset managers with the tools to deliver exceptional service and performance. Envestnet | Tamarac and Orion Portfolio Solutions further exemplify the fusion of portfolio management with client engagement, offering sophisticated tools for advisors.

  • VestServe

    Provides investment management solutions and client servicing.

  • Dynamo

    CRM and reporting tools for alternative asset managers.

  • Asset Vantage

    Portfolio management and accounting system.

  • PortfolioOne by Broadridge

    Comprehensive investment management solution.

  • PortfolioCenter by Schwab

    Portfolio management and reporting tools.

Investment Management Systems such as Bloomberg AIM and Eagle Investment Systems push the boundaries of portfolio analytics and risk management. These platforms offer unparalleled insights into market dynamics, enhancing the strategic decision-making process. Similarly, Anaplan and Limina IMS provide cloud-based platforms that cater to the nuanced needs of hedge funds and asset managers, offering advanced portfolio and risk management solutions.

  • Bloomberg AIM

    Investment management tools for portfolio analytics and risk management.

  • Eagle Investment Systems

    Data management, accounting, and performance measurement solutions.

  • Investran

    Private equity accounting and reporting software.

  • StatPro Revolution

    Portfolio analysis and asset valuation.

  • Anaplan

    Cloud-based platform for business planning and performance management.

  • Limina IMS

    Cloud-based system for hedge funds and asset managers, offering portfolio and risk management.

In conclusion, the landscape of asset management systems is rich and varied, offering solutions that cater to the diverse needs of asset managers. Whether it’s through OMS, PMS, IMS, or EMS, these systems are instrumental in enhancing the operational efficiency, decision-making capabilities, and strategic planning of asset managers. As the industry continues to evolve, the importance of selecting the right technology partners cannot be overstated.

It is crucial to pose specific, targeted questions to people navigating the complex process of system selection. In our post Right System for Your Fund, we highly recommend this method for identifying your specific requirements and checking if a solution is in line with your goals.

  • Profile Software

    Investment management functionality for funds and client portfolios.

  • Allvue Systems

    Portfolio management software integrating various investment management aspects.

  • FA Solutions

    Cloud-based portfolio management with a focus on automation and efficiency.

  • Rimes

    Data management and regulatory technology solutions.

  • Ultimus Fund Solutions

    Fund administration, accounting, and investor solutions.

In order to make smart selections that will benefit your investment for years to come, this method is essential.

  • Thomson Reuters Eikon

    Market insights, trading, and investment management tools.

  • FIS’ InvestOne

    Fund accounting solution for asset managers and administrators.

  • Enfusion

    Cloud-based platform integrating portfolio management, OEMS, and risk management.

  • Bloomberg Terminal

    Financial analytics, data, news, and insights for market data and trading.

  • Athena Systems

    Comprehensive financial risk management with advanced features.

Asset managers must navigate this complex landscape with a clear vision, ensuring they adopt systems that not only meet their current needs but also anticipate future challenges. In doing so, they will not only streamline their operations but also secure a competitive edge in the fast-paced world of investment management. At this juncture, FinTech4Funds emerges as a critical ally, ready to guide you through the selection process and prepare you for this pivotal decision, ensuring your technology choices align perfectly with your strategic goals.

  • Order management systems
  • Portfolio management systems
  • Asset management systems
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