5 Signs that You are being Affected by Your Outdated Financial Portfolio Management System

Accountants have come a long way since the time of manual book keeping where everything needed to be managed by hand. In fact, nowadays, if you cannot show that you have an efficient system in place for tackling all your investments, chances are that you will not see much business. So, with that in mind, what are a few of the signs which indicate that you are not up for the competition?

  • Barrage of Systems

Technology has kept on updating itself time and again. Chances are that you have, in your attempt to keep up, changed your systems quite a few times as well. However, while this presented the right conditions to the various clients, the same cannot be said about your personal growth. This is because adding a new system into the mix means managing data across multiple platforms. Today, integration does not mean plugging in a few wires and hoping that a system is working. It must truly be able to communicate effortlessly between themselves in order to be able to work efficiently.

  • Precise reports

Gone are the days when you could detail everything that you did in one whole page of text. Investors nowadays want a precise account of all their investments and what you are doing with it. After all, who has the time to go through so much information? Can your system do this? If it cannot, you should probably give it an overhaul. After all, investors would go for a professional financial manager who can be accurate and concise over one who is sloppy any day.

  • Global Investment Costs

There are a number of financial regulatory bodies at work in the current world. Bodies like ASIC regulate the investment and your business. However, in all likelihood, you will have to deal with multiple investment regulatory laws. This is one of the most important problems faced by asset managers, as suggested by a 2013 survey done with Chief technology Officers. Needless to say, all of them require you to be able to maintain a consistent and transparent record of all your investment workings. Mange your workflow environment and integrate technology for accurate report generation. After all, doing it manually is both time consuming and inefficient.

  • Investor Scrutiny

Investors today are highly aware of what a problem may be. This became a major trend after the multiple financial crashes in recent years. If there is a problem with your system, you can rest assured that your investors would find it out sooner rather than later. From operational risks to investment policies, make sure everything is in order. Your clients would ask the right questions: count on that and prepare for every eventuality. If there is anything lacking in what you do, expect their investment to go elsewhere.

  • Background System Support

You are a service provider specializing in a specific area. It is not possible for you to build a system from scratch to cater to your needs. As such, is YOUR provider for the background systems providing enough support? After all, a house is only as good as its foundations. If your system provider is not able to provide you 24/7 support or does not cover for emergencies, take your business elsewhere. Investment is a highly adaptable market and unless you can rise to tackle challenges when they arise, you are not worth someone else’s time. Take it from us that the cost of changing is not high enough to risk losing your clientele.

Apart from the above points, you should also keep track of your own portfolio. Invest in a strong outlook to incite customer confidence. It pays off handsomely when the time comes.

 

Sources

https://www.linkedin.com/pulse/7-signs-decaying-financial-portfolio-management-system-gerald-brown

http://www.investopedia.com/terms/p/portfoliomanagement.asp

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