Reconciliation outsourcing makes it easier for RIAs to focus on what they do best, and as back-office servicing specialists, Empaxis plays an important role in helping firms achieve their objectives.
Registered investment advisors face a wave of challenges, including: rising costs and operational complexity, lower margins, increased competition and client demands, as well as incorporating new technology like AI into their workflows.
Thus, the need for efficiency is greater than ever.
And according to a Cerulli Associates report, 73% of asset managers surveyed cited the increasing costs of operations as a reason to seek solutions that enable scale and efficiency, of which outsourcing is a means to that end.
For outsourcing, RIAs should consider back-office functions, including and especially reconciliation reporting.
At Empaxis, we are back-office reconciliation experts with two decades of experience.
Suffice to say, we've gotten quite good at what we do, and our clients can attest to it.
If you have watched enough television in the United States, you may have seen the Farmers Insurance commercials, where they say, "We know a thing or two because we've seen a thing or two."
That statement perfectly sums up Empaxis and our experience:
Additionally, our executive and senior leadership teams extensive experience in investment operations and have performed reconciliation firsthand, both with Empaxis and previous organizations.
Their intimate knowledge of the subject, combined with the team’s collective brainpower, offers an unparalleled depth of expertise and insight into the reconciliation process.
Human capital is very important, but it’s not enough on its own.
Leveraging technology is the key to driving greater speed and efficiency in reconciliation processes, and our combination of skilled human talent and cutting-edge technology that truly sets us apart.
If it’s manual and mundane, we will do whatever we can to automate it. So, we make use of advanced automation tools to streamline those repetitive tasks and minimize the risk of human error. This not only promotes faster turnaround times, but it allows our team to focus their expertise on higher-value activities, such as investigating exceptions and affirming overall data/reporting quality.
Automation is great, but machine learning is the next step. By incorporating artificial intelligence into our processes, we can identify patterns and anomalies in data that might otherwise go unnoticed. This enables us to proactively address potential issues before they escalate into costly problems.
RIAs need reliable and centralized data, easily pulled in from various sources. Empaxis helps firms integrate custodians and other technology platforms with their existing portfolio accounting systems. This eliminates the need for manual data entry and reduces the risk of errors associated with data transfer.
We employ robust quality assurance tools to meticulously review and validate every reconciliation. This multi-layered approach ensures the highest level of accuracy and reliability in our deliverables.
One of our company’s core pillars is “There is always a better way.”
With that saying in mind, Empaxis has never settled for complacency; progress doesn’t stop.
What once was a manual reconciliation approach, totally reliant on human efforts, we began to incorporate automation. From there, we expanded the automated bots into more activities.
Similarly, our quality control checks were once fully manual but have since been automated, delivering better and more exceptional results.
And the next frontier is AI, which Empaxis has fully embraced. Continuously perfecting the use of artificial intelligence is what we are doing for reconciliation and all MBO processes.
We believe in the power of clear and detailed documentation. Our reconciliation processes are carefully documented and regularly updated to reflect change in workflows and best practices and industry changes. This ensures that every team member, regardless of their experience level, can perform their tasks with confidence and accuracy.
Documentation is not just about providing instructions. We use documentation to create a knowledge base that promotes learning and discipline in their work.
Our documentation includes:
Documentation makes a bigger difference than one would think. As we mentioned before, it’s not just about getting a task done. It goes deeper:
When Empaxis was established, our goal has been to perform reconciliation the very moment data is made available from the custodian. We want our clients to receive their daily reports at the earliest time possible.
But depending on the time zone in the US or Canada, it means working anywhere between midnight and 6AM. A graveyard shift is ripe for turnover, leading to lower levels of continuity and service for our clients.
We are strategically located in the UK, India, and China (Hong Kong), and our globally positioned teams are available when custodial data is ready. When it’s 3AM in a RIA’s given time zone, our international teams are working in their late mornings and afternoons to get everything processed.
Combined with cost advantages and highly educated, English-speaking, talent in the fields of business, finance, accounting, and technology, Empaxis has put together a skilled and dedicated team to serve our clients. What's more, we cross-train our staff to build up a bench, so that no matter what happens, there is always an Empaxis team member you can depend on.
When Empaxis was established, our goal has been to perform reconciliation the very moment data is made available from the custodian. We want our clients to receive their daily reports at the earliest time possible.
But depending on the time zone in the US or Canada, it means working anywhere between midnight and 6AM. A graveyard shift is ripe for turnover, leading to lower levels of continuity and service for our clients.
We are strategically located in the UK, India, and China (Hong Kong), and our globally positioned teams are available when custodial data is ready. When it’s 3AM in a RIA’s given time zone, our international teams are working in their late mornings and afternoons to get everything processed.
Combined with cost advantages and highly educated, English-speaking, talent in the fields of business, finance, accounting, and technology, Empaxis has put together a skilled and dedicated team to serve our clients. What's more, we cross-train our staff to build up a bench, so that no matter what happens, there is always an Empaxis team member you can depend on.
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