Alexander Kouperman, a principal at InfoHedge participated in the research study conducted by Hedge Fund & Investment Technology magazine on the topic of buy-side outsourcing titled “Buy-side outsourcing grows up.” Several industry gurus who had been exposed to the challenges of outsourcing in the Hedge Fund space offered their opinions regarding the subject. Below is the excerpt from the article.
Alexander Kouperman, former IT director at a billion-dollar New York hedge fund and principal at InfoHedge Technologies, a newly formed hedge fund infrastructure and software provider, contends that managers must also make sure their outsourcers can capably deal with both third-party systems and proprietary technologies to support more complex operations.
“One thing that all IT managers at hedge funds must be cognisant of is the fact that there are very few people out there with the expertise to build customized financial software tools,” Kouperman says, adding that as soon as funds begin trading products beyond plain vanilla equities their off-the-shelf systems fall short.
“Then you have to buy the best and build the rest – this is where it’s a good idea to outsource to providers who have done this before and have the expertise to do so,” he explains.
InfoHedge is a provider of IT services to the alternative investment industry. InfoHedge’s services include complete or partial outsourcing of Systems and Infrastructure Management, Disaster Planning and Recovery, Compliance Technology, Tactical and Strategic Consulting and Financial Technology Integration & Development.
ISSN 1741-8291 Vol 3 No 12