The Power of High-Quality Data: A Strategic Imperative for Asset and Fund Managers
Topics: Asset Management, Fund distribution
In an industry where compliance, operational efficiency and technological innovation intersect, asset and fund managers face highly intricate challenges: managing and leveraging high-quality data to navigate regulatory complexity, enhance decision-making and deliver value through digital transformation. As the financial sector continues to evolve, firms must recognise that data is not just a regulatory necessity but a critical driver of success. The ability to harness and interpret vast amounts of data separates leading firms from those struggling to keep up with shifting regulatory demands and evolving market conditions.
Regulatory compliance: a data-driven necessity
Regulatory requirements are expanding, with frameworks such as SFDR, DORA and RIS reshaping asset managers’ operations. Ensuring compliance is no longer just about meeting obligations—it’s about integrating data-driven solutions that simplify compliance, reduce costs and minimise risk exposure.
The data overload requires a structured data strategy. “Asset managers who proactively structure their data to align with compliance demands gain a strategic advantage by reducing the administrative burden of adapting to regulatory changes,” said Israel Cuesta, Senior Key Account Manager at FE fundinfo. AI-powered systems can assist by identifying regulatory gaps through automated “heat maps,” ensuring firms remain compliant while eliminating inefficiencies.
“FE fundinfo plays a key role in helping firms navigate this complex landscape. Our suite of regulatory solutions enables asset managers to streamline compliance, ensuring data consistency and reducing the manual burden of regulatory reporting,” said Israel Cuesta. Regulatory obligations are not static; firms need scalable solutions that adapt to frequent legislative changes across different jurisdictions.
“Outsourcing and hybrid models allow firms to delegate regulatory-related activities to specialised partners — which offers economies of scale, expertise and cutting-edge technology solutions,” he added. By combining internal oversight with external support, firms can maintain agility in an evolving regulatory landscape.
Intelligent solutions
As in many other industries, AI is also reshaping asset management by offering unprecedented efficiencies in portfolio management, risk assessment and regulatory reporting. However, the effectiveness of AI-driven applications hinges entirely on the quality of the data they process. Poor data quality leads to inaccurate models, flawed risk assessments and unreliable insights.
“We leveraged AI to gather, validate and organise data across multiple global sources, significantly reducing errors and ensuring consistency. AI is also transforming compliance processes by automating document verification, accelerating due diligence and flagging potential risks — all of which are only possible with structured, high-quality data as the foundation,” said Joerg Grossmann, Chief Product Officer at FE fundinfo.
The recently introduced Nexus platform by FE fundinfo connects asset managers, data partners and wealth managers in one place. It improves connectivity across insourced and outsourced functions, processes and systems, enhancing operational efficiency for fund managers and sets a new standard in efficiency, compliance and data excellence across the investment lifecycle. By integrating AI capabilities into data aggregation and management workflows, asset managers gain real-time insights, allowing them to make informed decisions with greater confidence.
“AI also enhances customer experience by providing personalised investment recommendations, improving investor communications and optimising distribution strategies. As AI continues to evolve, firms that invest in quality data today will be positioned to reap the benefits of increasingly sophisticated AI applications in the future,” said Joerg Grossmann.
“The recently introduced Nexus platform by FE fundinfo connects asset managers, data partners and wealth managers in one place. It improves connectivity across insourced and outsourced functions, processes and systems, enhancing operational efficiency for fund managers and sets a new standard in efficiency, compliance and data excellence across the investment lifecycle. By integrating AI capabilities into data aggregation and management workflows, asset managers gain real-time insights, allowing them to make informed decisions with greater confidence.”
Clean once, publish repeatedly
The above is why fund managers must embrace digital transformation to remain competitive. Investors and distributors expect seamless access to fund data and regulatory documents across digital platforms. However, fragmented or inaccurate data often leads to inefficiencies, miscommunication, and compliance risks.
“We believe in ‘clean-once-publish-many-times’ strategies, ensuring that data is captured correctly at the source and distributed across multiple digital channels without inconsistencies. This approach streamlines processes across the entire fund value chain — from production to distribution —allowing asset managers to enhance user experience while maintaining operational efficiency,” said Joerg Grossmann.
Digital distribution of investment product information is now imperative, and asset managers who fail to adapt risk falling behind their competitors. But beyond regulatory filings, digital delivery also shapes the investor experience. With a growing demand for transparency, investors expect detailed fund data to be easily accessible and digestible. Asset managers must leverage high-quality data to create clear, engaging and regulatory-compliant investor communications that enhance trust and facilitate better decision-making.
Data as the core competitive advantage
For asset and fund managers, the future will be defined by those who can efficiently harness the power of high-quality data. “Firms that invest in robust data governance, AI-driven automation and efficient digital delivery will not only remain compliant but will also enhance decision-making, reduce operational costs and improve client engagement,” said Israel Cuesta.
The financial landscape is only becoming more data-driven, and the ability to quickly adapt to market trends and regulatory requirements depends on having access to clean, structured and high-quality data. Firms that take a proactive approach to data management and digital transformation will position themselves as leaders in the asset management industry.
By recognising data as the golden key to efficiency, firms can turn today’s regulatory and technological challenges into opportunities — ensuring they are well-positioned for sustainable growth in an increasingly complex financial landscape.
FE fundinfo remains at the forefront of this transformation, empowering clients with best-in-class solutions to streamline data management, ensure compliance and drive operational excellence.
For more information visit www.fefundinfo.com or contact our team directly.
About FE fundinfo
FE fundinfo is a leading financial data company connecting the asset management industry to distribution networks in the UK, Europe and Asia Pacific.
Through our data and intelligence, we empower the investment management industry to drive asset growth, operational efficiency and risk management, facilitating faster and global market entry via preferred distribution channels. Our solutions help our customers manage risk, enhance operational efficiency and drive returns for their investors.
For more information: www.fefundinfo.com