FIS (NYSE: FIS), a prominent player in the financial industry, has recently unveiled an ambitious plan to expand its sell-side solutions to cater to the unique needs of buy-side clients.
Acknowledging the myriad challenges faced by buy-side firms in today’s financial landscape, including the quest for new revenue streams, risk mitigation, operational efficiency enhancement, and increased customer value delivery, FIS is on a mission to empower these entities through its sell-side offerings.
One significant stride in this endeavor revolves around the Cleared Derivatives (CD) platform, traditionally embraced by clearing members.
Interestingly, the CD platform is gaining traction among buy-side participants like hedge funds, asset managers, and insurance companies.
By embracing this platform, buy-side players gain direct access to trading venues and clearing houses, effectively reducing counterparty risk and freeing up capital. This strategic shift signals a profound evolution in technology adoption, empowering buy-side clients to navigate the intricate financial ecosystem with greater efficiency.
Moreover, FIS is extending the functionalities of its Cross-Asset Trading and Risk Platform to serve buy-side firms.
Initially tailored for sell-side operations, this platform now equips buy-side clients with the tools needed for asset diversification and the implementation of innovative revenue-generating strategies.
The Cross-Asset Trading and Risk Platform boasts a range of features, including real-time trading controls, order management capabilities, profit and loss tracking, general ledger functions, and more.
Its modular architecture ensures that clients can tailor the solution to meet their specific requirements, offering unparalleled flexibility and adaptability.
The demand for comprehensive financial solutions among buy-side firms has been steadily rising.
In the third quarter of 2023, FIS secured new client contracts for the Cross-Asset Trading and Risk Platform, underscoring the increasing appetite for solutions that address the ever-evolving needs of buy-side institutions.
These contracts, signed with multiple buy-side firms, underscore the growing recognition of the value that FIS’s innovative platforms bring to the table.
Nasser Khodri, Capital Markets President at FIS, expressed his enthusiasm for these developments, stating, “We are proud to announce that we have expanded our sell-side solutions to new buy-side clients, as well as strengthened our relationship with our existing sell-side clients.
As one of the largest financial technology companies, we have the strengths, capabilities, and expertise required to not just provide our buy-side clients with the sell-side capabilities they’re seeking but to ensure they’re acquiring them through modern and cloud-native SaaS solutions for maximum efficacy.
I’m excited to see the opportunities that this industry trend creates for FIS and our extensive network of buy-side clients.”
FIS’s expansion into the buy-side market represents a significant milestone, promising increased efficiency, risk reduction, and enhanced value for these clients in the ever-evolving financial landscape.