Financial Services: Syntel - Reference Data Management BPO
Who Is This Vendor Assessment For?
NelsonHall’s Reference Data Management BPO Vendor Assessment for Syntel is a comprehensive assessment of Syntel’s reference data management BPO (RDM BPO) offerings and capabilities designed for:
Sourcing managers monitoring the capabilities of existing suppliers of capital market process outsourcing and identifying vendor suitability for RDM BPO RFPs
Vendor marketing, sales and business managers looking to benchmark themselves against their peers
Financial analysts and investors specializing in the support services sector.
Key Findings & Highlights
This NelsonHall assessment analyses Syntel’s offerings and capabilities in reference data management BPO. Syntel is one of a number of reference data management BPO companies analyzed in NelsonHall’s comprehensive industry analysis programs.
Syntel’s RDM BPO services grew out of a relationship with a global custodian, which began in 2003 when the global custodian requested help in setting up an Indian base of operations. Initially, Syntel provided advice and operational expertise to set up the delivery center, and in the second year the operations were restructured as a joint venture between the client and Syntel to address regulatory requirements in India. The client owns 51% of the business and provides managerial oversight and strategic direction; Syntel owns 49% of the business and is responsible for operational delivery.
In 2004, the global custodian extended the existing BPO relationship to include reconciliation of trades for funds under custody. As the relationship matured, more functions were migrated to the Syntel offshore delivery center and RDM services was one such critical process. Today Syntel provides RDM BPO services for thirty clients of this global custodian.
Syntel RDM BPO delivers service from two delivery centers:
Syntel’s primary targets for RDM BPO are:
Global custodian and other market service providers
Global banks headquartered in the U.S.
Asset managers headquartered in U.S. and Europe
Existing capital markets clients of Syntel’s IT services.
Syntel targets U.S. and European headquartered global banks for RDM BPO services, and supports them primarily in their home markets. In the future Syntel will continue to target:
Global institutions headquartered in the U.S. and Europe
Asset managers of all sizes (as part of servicing a global custodian).
The focus in RDM is equally on securities and account data, but for the next year, due to regulatory compliance requirements, account data RDM BPO is expected to grow faster.
Syntel is looking to grow its RDM BPO business by:
Helping global clients reduce the cost of data management and increase data quality and accuracy, by:
– Consolidating and standardizing data silos
– Consolidating data feeds, scrubbing data received, and eliminating redundant purchases
– Improving client reporting of data maintenance efforts to increase visibility into management procedures and adapt to changing compliance requirements.