The derivatives landscape has evolved greatly over the past few years, driven by the scale and pace of regulatory change, economic unease and competitive pressures. These drivers have heightened the attention on risk technology and operations, forcing firms to re-think their business operating models. The rapid pace of innovation in technology presents a whole new range of possibilities for how technology can be leveraged in financial markets.
There has been a great deal of talk about the need for capital markets’ to invest in technology. Leveraging better technology can increase flexibility, improve performance, reduces operational risk, and lower costs. Firms want to minimise the number of different technologies that are in play, aiming to lower costs and improve resiliency. They want to be able to upgrade functionality with minimal operational or organisational interruption to their daily workflow and avoid punitive project costs for what is sometimes limited added value.
Quantifi has stayed ahead of the competition by continuing to make smart investments in new technology that translate into long-term value for clients. A key focus has been to make Quantifi more open and flexible by separating out its architecture to microservices. This investment has reshaped how Quantifi serves its clients by addressing the modern business imperatives of speed, agility and scalability. A microservices architecture (MSA) makes initial implementation and future upgrade simple and low risk. Clients also benefit from unparalleled flexibility and customisation.
In the mid- to long-term, we expect that the smart evolution, utilization, and deployment towards MSA will be one of the bedrocks for the future evolution of front office, risk, and compliance systems innovation. Firms will be able to realize the benefits of reducing integration expense, increasing asset reuse, promoting business agility, and reducing business risk in an environment where the pace of technology innovation is accelerating.