[ I N - D E P T H
er of desks it’s about the dialogue
of finding the best process.”
Not all recently merged entities
would look to integrate their trad-
ing desk in the same way and this
can very much depend on the size
of both asset managers. For example
in some cases, the EMS would be
left alone and the larger entity of the
two would become the incumbent.
There would then be an adoption of
their vendor as they have the bigger
relationship. Yet, it’s certainly an
opportunity for an asset manager
to redesign its architecture and
move systems onto a more efficient,
cloud-based technology.
Once completed, the merged
trading desks will certainly reap
the rewards of moving onto a
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A S S E T
M A N A G E M E N T
single system for a more intelligent
unified trading operation. The
everyday work of traders may be
different, but ultimately what they
do is very similar so building a plat-
form and single trading workflow
can simplify and automate process-
es across the business.
“It’s interesting when you take
two asset managers who are merg-
ing because the trading desks can
be so different,” the head of trading
adds. “The first thing to look at is
the workflows and systems; we all
have access to the same vendors
but workflows, culture and philos-
ophies can be vastly different. At
a high level it can look as though
we are doing the same process but
as you dig into the nuances, it’s
M E R G E R S ]
amazing how distinct the processes
actually are.”
Experts in the buy-side me-
ga-merger and those with experi-
ence of the process agree integrat-
ing trading operations can present
both opportunities and challenges.
Following a merger, the asset
management firms are ultimately
looking to achieve economy of
scale, efficiency and trade automa-
tion. The process, however, will
very much depend on the individu-
al firms looking to operate under a
single combined business.
“It’s a huge opportunity, to
strengthen relationships for exam-
ple, but in many cases consolidat-
ing the execution or portfolio man-
agement sides of each business can
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