Digia launches new financial-sector outsourcing – FIM outsources back-office functions for funds to Digia
Digia will take responsibility for NAV calculation and shareholder register maintenance for funds managed by the investment services provider FIM. Digia will also be carrying out administrative tasks for discretionary asset management portfolios for FIM. Twenty people will transfer from FIM to Digia as part of the agreement. The outsourcing agreement will enable the company to focus on its core business. For Digia, the agreement marks entry into a whole new area.
Digia will begin offering back-office services to financial-sector operators. This new financial-sector service implements Digia's new strategy for 2016–2019, which was published in the spring. One of Digia's focal points is to grow its service business.
Strictly regulated, routine administrative functions tie up resources, but it is difficult to make them generate added value. Companies will now be able to outsource the provision and development of support functions to Digia, which will implement the desired processes in a centralised and cost-effective manner.
“FIM has been working with Digia for a long time, and we're glad to have this opportunity to deepen our cooperation. Thanks to this agreement, we can better focus on our core business. The employees transferring to Digia will also get the opportunity to build up a brand-new, growing business,” says FIM's CEO, Teri Heilala.
“Ever-tightening regulations are forcing the financial sector to continually update its IT systems. For example, the introduction of the T2S settlement system and MiFID II Directive are currently causing a lot of headache for our customers. As everyone is running different systems, everyone has to consider their individual solutions. However, in the face of tougher competition, companies need to be able to focus their resources on their core business, develop new services and improve their customer experience,” says Digia Director Tommi Flink.
The outsourced services will be based on products in the Digia Financial Solutions range. In addition to a comprehensive product portfolio and technical expertise, it is independence and industry knowledge that form the cornerstones of Digia's service business. Digia has over 30 years of experience as a system provider in the financial sector.
Similar outsourcing services are also offered by international and smaller domestic operators in the financial sector. However, outsourcing always involves issues surrounding, for example, handing customer data to competitors. Digia does not compete with finance companies for the same customers, which makes Digia an autonomous option.
Digia will continue to expand its financial-sector service business. In addition to back-office functions for funds, other examples of services that can be outsourced to Digia are customer data management, account and loan processing, post-trade services for securities, corporate actions management services, a variety of reporting, integration and archiving services, analysis services for management, e-solutions, and regulatory changes.
For more information, please contact:
Director, Digia Financial Solutions, Digia
Tel. +358 (0)40 842 2921
Head of Industry, Bank and Investment Services, Insurance and Telecom, Digia
Tel. +358 (0)50 311 2188
Tel. +358 (0)50 306 3622