Operational metrics are emerging as the Holy Grail of financial data professionals. CJC can help.
This is an extract from a more complete case study - view the full version here.
For financial institutions active in multiple asset classes and across financial centres, execution venues and regulatory regimes, maintaining the data infrastructure to support the increasingly complex trading business is an ongoing headache.
With so many moving parts, market data and transaction messaging systems are prone to system overloads, bottlenecks and other potential pitfalls that can disrupt data flows and – worse still – bring trading to a halt.
Keeping tabs on an IT infrastructure as critical and complex as this is a major challenge. Existing solutions can be expensive and often not fit for purpose. Furthermore, it’s tough to get management buy-in for the investment required to ensure the smooth-running of trading data systems.
Indeed, the concept of IT operations analytics (ITOA) has gained traction among financial institutions in the past two years as they strive to gain control over their critical processes. ITOA is the process of applying big data analytics to large volumes of data to produce business insights.
A major North American investment bank recently went live with CJC’s cloud-based ITOA platform, mosaicOA. The bank was struggling to manage its market data infrastructure and wanted to collect performance metrics to identify potential bottlenecks so they could be dealt with before they caused operational problems.
As of June 2017 the client has 'true' capacity management in New York, Toronto and London with a road map including Tokyo, Hong Kong and Sydney. There are now 2.5 million metrics being stored in the CJC private cloud.
Requests for additional resource often face internal resistance, but making the case with system performance metrics helps. By predicting system outages, proactively taking action and demonstrating understanding of their causes, the bank is able to highlight value to potential users and management.
Potential data outages at the investment bank are now being averted, allowing the market data group to provide better services for its internally. Other units in the bank, such as equities, fixed-income and foreign exchange, will have the same metrics to consider.
Although the system doesn’t directly enhance alpha generation in the bank, by preventing outages it adds demonstrable value. Explaining this value to users and managers was key to gaining support for the project and to expanding it to support other areas of the business.
Read our case study - Measuring performance: mosaicOA and the CJC private cloud