As asset managers and owners tighten their grip on costs and self-indexing gains traction, index providers are working more with clients in areas such as ESG and risk analytics.
Effective use of data can help asset owners improve returns, reduce costs and gain an edge when bidding for assets – even helping to undercut rivals, as one sovereign fund has shown.
The two pension fund managers are among a growing number of asset owners using new approaches to data analysis and technology to enhance returns and cost-efficiency.
Institutional investors such as the UK’s Coal Pension Trustees and Ontario Teachers’ Pension Plan are taking different routes to increasing their use of emerging technologies.
New regulations requiring asset managers to report extra data on collective investments schemes could be costly, unless regulators create centralised data centres, argues PwC.
China's troves of customer data could help it rapidly develop artificial intelligence investing solutions. But challenges still need to be overcome before it leads the world in fintech.