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

Majority of RDR Readers Facing Decreased Data Management Budgets for This Year

Subscribe to our newsletter

The majority of Reference Data Review readers will have to do more with less this year in terms of budget for their data management projects, according to the results of our latest reader poll. The respondents to our January poll indicate that 62% of readers are facing cuts to their budgets for 2009.

The financial crisis has put pressure on financial institutions to deal with critical areas such as compliance and risk management requirements and this may be diverting their budgets from longer term enterprise data management (EDM) projects. Respondents indicated that their budgets for 2009 had decreased significantly, at 31%, or only slightly, also at 31%.

Despite discussions to the contrary at last year’s FIMA conference in London in November, very few institutions’ budgets have remained the same as those granted in 2008, with only 8% of readers indicating they have the same levels of funding.

A surprising 8% of readers have experienced a significant increase in funding, with a further 23% having witnessed a slight increase in data management budget. Perhaps, as indicated by A-Team Group’s recent research into risk management’s impact on data management in collaboration with GoldenSource, the risk function is having a beneficial impact on data management in the case of certain institutions.

The report, “Risk Management Drives Cross-enterprise Data Connections”, highlights the fact that financial institutions are focusing on improving data management practices to support risk management requirements. According to 89% of the respondents to the survey, chief risk officers are focusing on data practices as a way to keep risk in check.

What is certain from these results is that it’s going to be a tough year for the vendor community. With little business about due to spending restrictions, data management vendors are going to have to go that extra mile to get a piece of the action.

The ASP model seems to be a significant area of focus for those in the data management game, as institutions look to outsource their problem areas to vendors and reduce in-house costs. It is likely that these solutions, along with software as a service (SaaS), will be touted for some time to come.

Our next poll is aimed at finding out what is driving firms to invest in the area of data management – is it the threat of reputational damage? Regulatory and compliance requirements? The need to consolidate after mergers and acquisitions (of which there have been many over the last six months)? Operational risk? A case of cost saving measures? Or some other pressure?

Get your voice heard and get involved (see the right hand column and tell us your thoughts).

Subscribe to our newsletter

Related content

WEBINAR

Upcoming Webinar: The Role of Data Fabric and Data Mesh in Modern Trading Infrastructures

23 September 2025 10:00am ET | 3:00pm London | 4:00pm CET Duration: 50 Minutes The demands on trading infrastructure are intensifying. Increasing data volumes, the necessity for real-time processing, and stringent regulatory requirements are exposing the limitations of legacy data architectures. In response, firms are re-evaluating their data strategies to improve agility, scalability, and governance....

BLOG

The Future of Wealth Management: The Rise of Alternatives and Digital Transformation

By Tom Carey, Corporate Vice President, President of Global Technology and Operations at Broadridge. Wealth management stands at a pivotal crossroads, poised for revolutionary change that will fundamentally reshape the delivery, consumption and value of financial services. Global assets under management are projected to reach $145.4 trillion by 2026, with alternative investments growing at twice...

EVENT

Buy AND Build: The Future of Capital Markets Technology

Buy AND Build: The Future of Capital Markets Technology London examines the latest changes and innovations in trading technology and explores how technology is being deployed to create an edge in sell side and buy side capital markets financial institutions.

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...