Investment consultants are beefing up their technology to meet client demand for more sophisticated digital money manager, portfolio and risk management evaluation tools.
Among the areas consultants are focusing their technology efforts on are more frequent and efficient ways for employees of corporate defined benefit plans to monitor and manage the funded status daily and using participant-level data from defined contribution plans to help create retirement income options.
Top-notch technology is essential for investment consultants to meet demand from every segment of their client base, industry sources said.
"Robust performance reporting about single managers or strategies is table stakes now. Plan sponsor investment staff and trustees need real-time data that provides an aggregate view from a risk management perspective. This isn't something that's going to go away," said Rachel H. Carroll, managing director of consulting and senior consultant for Russell Investments Americas' institutional business, Seattle.