Buy-Side Order Management Systems: Automating the Front Office
In a new report entitled "Buy-Side Order Management Systems: Automating the Front Office,"Celent examines the Buy-Side OMS marketplace, identifying major trends and profiling the major players in the marketplace.
The investment management community has not been as quick to adopt new technology because all but the very largest firms have lacked the volume to support that investment. "This trend is beginning to change. For the first time in approximately a decade, buy-side firms are no longer producing double-digit returns for their clients as a result of the deterioration of market conditions since the spring of 2000. These firms are looking for new technologies to cut costs and increase efficiency," according to Fritz McCormick, author of the report.
A sign of this trend is rising interest in order management systems. An order management system can instantly provide a firm with an increased level of straight-through processing in the front-to-middle office environments, enabling more efficient operations almost immediately. Celent expects spending on these systems to reach almost US $700 million by 2005.
This report discusses trends in the order management marketplace, key features that a system must include, and a thorough overview of the top players in the marketplace (as seen below).
|Charles River Development||Charles River Trading System|
|Eze Castle||Traders Console|
|Linedata||The Longview Trading System|
|Macgregor||The Macgregor Financial Trading Platforms (MFTP)|
|Thomson Financial||Oneva Trade EQ|
|Source: Celent Communications|
"Celent believes this marketplace is poised for continued growth, and we expect that growth to come from a buy-side community that, for the first time in a great while, needs technological tools to help increase efficiency, reduce costs and increase their competitiveness as clients, grown wary of low returns, begin to seek alternatives," says Mr. McCormick.