Sell-Side Technology Awards 2024: Best outsourcing provider to the sell side—Broadridge Financial Solutions

Overview

Broadridge’s Business Process Outsourcing (BPO) service combines technology with the firm’s operations expertise to support the entire securities lifecycle. Broadridge’s more than 40 BPO capabilities extend from settlement and clearing and asset servicing to loan administration and fee billing, supporting all functions in between. The service is designed to help clients adapt to new regulations and focus on their core business while mutualizing operations and innovation costs, and increase operational efficiency, governance, and risk mitigation. Broadridge also provides securities processing outsourcing in Emea and Asia-Pacific through a partnership with Accenture Post-Trade Processing.

The solution  

BPO’s service offering, coupled with its 24x6 coverage and various delivery models—ranging from traditional managed services to on-demand resourcing—provides its 61 clients with flexibility to meet new and evolving market- and client-driven demands. The service delivers technology solutions to optimize operations and supports repo transformation through blockchain, systemic netting, robotic process automation, and digitized workflows for client exception management and regulatory reporting.

Secret sauce  

Broadridge mutualizes technology and operations costs for the sell side through continuous technology deployment and a BPO housed within a regulated broker-dealer. Its operational expertise resides in eight locations globally: four in North America, two in Emea and two in the Asia-Pacific region.

Recent milestones

In the last 12 months, Broadridge BPO announced a new partnership with LiquidX, a global fintech platform for digitization, monetization, and risk mitigation for trade finance, to introduce InBlock TradeOps. InBlock TradeOps manages inefficiencies and execution issues within firms’ trade finance operations, improving the efficiency of the investment lifecycle by as much as 50%. The solution supports firms by translating and digitizing paper documents, matching and reconciliation, and payment processing, which caters to the needs of both suppliers and buyers.

Other recent milestones include:

• Continued investment in loan administration, inMatch TradeOps, and middle-office offerings to double segment revenue
• Deployment of BPO’s T+1 testing-as-a-service offering, which became available to industry participants at the start of May 2023 (in anticipation of the industry’s move to T+1, which happened at the end of May 2024)
• Launch of new service offering in Q4 2023 to address the mutual fund distribution market in Canada.

Why they won

This year’s Sell-Side Technology Awards was another successful outing for Broadridge. Not only did the Lake Success, NY-based tech and operations specialist win the outsourcing provider to the sell side category, but it also emerged top in the best distributed-ledger technology provider category, illustrating its versatility. This is Broadridge’s sixth consecutive win in this category, underlining just how dominant the firm has become in what is a highly competitive and lucrative segment of the financial services technology and operations landscape. If anything, the managed services and outsourcing market will continue to grow as firms on both sides of the industry look to partner with technology, data and operations specialists, allowing them to focus on their core competencies, content in the knowledge that their underlying systems are fit for purpose, current, and are being run as efficiently and cost-effectively as possible. There is little doubt that Broadridge will continue to shape this market as it evolves.