About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

GoldenSource Discusses the Pitfalls and Potential of Entity Data Management

Subscribe to our newsletter

Entity data is a fundamental building block of many systems, but all too often large financial institutions fail to manage the data strategically and incur negative customer reactions, increased costs and regulatory reporting errors. The solution to these problems is an enterprise-wide approach to entity data secured by strong data governance.

The problems and potential of entity data management are the subject of a GoldenSource white paper, Complex Client Structures and Fragmented Systems Landscapes, that is authored by Tom Stock, senior vice president and global head of product management at GoldenSource, and Jonathan Poole, a consultant at FinReg.

The authors note their own observations of disparate entity data management architecture that is inherent to many large multinational organisations, and suggest this fragmentation of entity data management is the result of organisational change, particularly merger and acquisition; solutions built in the absence of a data governance strategy; solutions built with a defined project time or cost constraints; and solutions built as tactical responses to business problems that subsequently become business critical.

The consequences of complex client structures and fragmented systems landscapes, notes the paper, include negative client sentiment arising from situations where employees do not have the necessary information or clients receive multiple requests for information that has already been provided; increased costs of data processing due to duplication of effort as a consequence of having to maintain multiple versions of data in different systems; increased risk of penalties arising from regulatory breaches due to operational errors and lack of transparency between business units; increased risk of financial loss arising from credit events; and lost sales opportunities caused by wasted sales and marketing expense, and distorted opportunity identification.

But all is not lost. Charlie Browne, head of market data and risk solutions at GoldenSource, explains: “Banks often follow the mantra of putting clients first, but their infrastructure doesn’t always allow a good understanding of who the clients really are. To resolve the problem, one approach is to implement strong entity data governance, move progressively towards a single identifier for client and hierarchy data, and change the mantra to emphasise that well-managed entity data is key to successful projects.”

The paper acknowledges that it is difficult to justify the business case for systems replacement and implementation of an enterprise-wide entity data management solution, and instead reflects Browne’s view, suggesting firms should take a measured approach to building more unified data models and systems architectures. Successive projects then have the advantage of offering sponsoring organisations quick wins and benefits including demonstrable business improvements, a foundation for further entity data projects and more efficient deployment of business resources.

Subscribe to our newsletter

Related content

WEBINAR

Upcoming Webinar: Best approaches for trade and transaction reporting

11 September 2025 10:00am ET | 3:00pm London | 4:00pm CET Duration: 50 Minutes Compliance practitioners and technology leaders in capital markets face mounting pressure to ensure that reporting processes are efficient, accurate, and aligned with global standards. Market developments and jurisdictional nuances in regulatory frameworks like MiFID II, EMIR, SFTR and MAS create a...

BLOG

A First for RegTech: Corlytics Achieves ISO 42001 Certification for AI Governance

Dublin-based Corlytics has become the first RegTech company to achieve ISO/IEC 42001 certification, positioning the firm among a select group of global technology companies certified to stringent international standards for AI governance. ISO 42001 aligns closely with evolving regulatory frameworks such as the EU AI Act and the UK National AI Strategy. The standard includes...

EVENT

RegTech Summit London

Now in its 9th year, the RegTech Summit in London will bring together the RegTech ecosystem to explore how the European capital markets financial industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

AI in Capital Markets: Practical Insight for a Transforming Industry – Free Handbook

AI is no longer on the horizon – it’s embedded in the infrastructure of modern capital markets. But separating real impact from inflated promises requires a grounded, practical understanding. The AI in Capital Markets Handbook 2025 provides exactly that. Designed for data-driven professionals across the trade life-cycle, compliance, infrastructure, and strategy, this handbook goes beyond...