Tony Chung | Wednesday, October 12, 2016
Everyone likes a good “proved ‘em wrong” story. And this may do exactly that.
Historically, “tech-savvy” has not been how many would describe the private equity sector. You may even go so far as to say that private equity is in the dark ages when it comes to technology. But this may be about to change.
We recently surveyed leaders from several hundred private equity firms – GPs, LPs and service providers. One resounding theme that emerged from the results was that technology is playing an increasingly important role in these firms’ strategies. In particular, the vast majority of private equity leaders told us that they expect the cloud to play a major role in the future of their businesses.
While many firms still rely on Microsoft Excel to manage accounting and other key data-driven functions, maturation of the market and integration with other asset classes are driving a need to reevaluate.
And that reevaluation seems to be actively underway, as Sami Juma, chief operating officer of FIS’ private equity business noted recently.
“We’re seeing clients who would never have expected to pursue a deployment of a platform in the cloud, now looking at leveraging cloud services,” Juma said.
The cloud isn’t the only newer technology that private equity firms are exploring, as our research discovered:
You wouldn’t be alone if those numbers surprised you. And they certainly don’t depict an industry in technological dark ages.
The bottom line is that private equity firms across the globe are recognizing that embracing newer technologies could increase their competitiveness, enhance customer service and boost productivity. The modern age of private equity has begun.
Learn how FIS’ institutional and corporate solutions can help you increase your competitive edge.Contact us