The Client
A large global multi-strategy hedge fund with over $2.5Billion in Assets Under Management (AUM).
The Solution
The Cognivo team understood the challenge and documented the requirements of the project over discovery calls and meetings with the client’s operations team. The Cognivo team subsequently designed a new database architecture, based on the data dictionary derived by analyzing various data sources and the final reporting requirements.
The team then designed and developed a software application that automated the intelligent gathering of data, and subsequent analysis and reporting. Most of the nightly processing is now being down right after the market close, and any issues with data are being processed much quicker, so they can be reviewed and rectified.
What We Delivered
Automated, timely, accurate, and visually attractive internal and investor reports with interactive charts and drill-downs.
The automated aggregation and centralization of critical investment and operations data allowed the entire research and analysis process to be automated, predictable, timely, and reliable.
The feature-rich investment research and analysis became available via web-based, centralized interactive dashboards to the investment officers, thereby eliminating the need to ask the investment team for manual analysis. The biggest achievement however was the accuracy of the reports being generated, which improved by over 90 percent. In addition, Cognivo added various automated reconciliation checks on the input data as well as the generated reports, before they were presented to the investment officers or the investors.
Complete integration across various internal and external systems.
The modernized system, having been developed using the latest programming languages and APIs, is open in format, which allows for easy integration with other systems that the investment firm uses. The system also automatically extracts data from various internal and external sources via API and FTP. Then post-process, the data is stored in a centralized data warehouse.
Highly efficient workload management.
The middle and back-office operations team no longer need to gather data manually from various sources, and then reconcile the data after generating the reports.
According to the Chief Operating Officer, the biggest advantage of this new solution is that this allowed them to better utilize their small team of analysts, who are now able to use their time performing more meaningful tasks for the firm.
Exceptional return on investment (ROI).
According to the Chief Operating Officer, the man-hours saved by automation allowed at least one full-time role to be dedicated to other functions within the firm, thereby saving them $75,000 to $90,000 per year.