Tradesocio spearheads digital transformation in investment management

Businesses in the financial industry have to adapt quickly to new market conditions in the era of accelerated growth driven by digital transformation. 

Changing investor behaviour pushed financial institutions to the brink of either adopting advanced technologies or outsourcing part of their investment management services due to their technological incapacity to manage and analyse large volumes of data in-house.

Data security remains a major challenge to digital transformation as the number of cyber-threats reportedly rose by 22% between 2018 and 2019, and continues to soar. 

Tradesocio has engineered an advanced investment management solution that mainstreams digital banking and investments, with a focus on data security and privacy. The company will host seminars in Johannesburg on October 2 2019 and Cape Town on October 3 2019 on digital transformation and its impact on investment management. 

Data security no longer a problem

Tradesocio’s infrastructure has been developed around the latest technology to maintain a high level of data security and compliance to avoid the occurrence of new types of vulnerabilities. Placing data privacy at its forefront, the Singapore-based financial technology company applies advanced data processing protocols that comply with the latest General Data Protection Regulation (GDPR) provisions on data confidentiality. 

To guarantee utmost data integrity in financial applications and protect sensitive client data against cyber-attacks, Tradesocio resorted to a strategy known as dependency injection or data injection. This innovative technique reduces the risk of zero-day exploits, whereby wrong data or code is inserted into a system to tamper with it. Data injection helps filter malicious interference by sealing the system to such malware.

Tradesocio also uses all possible security methods to ensure the highest standard of data security and availability, such as distributed database architecture (which also prevents server overloading), real-time backups and dedicated regional hosting.  

In case of natural calamities, the company has a Tier-3 Real-time Disaster Recovery protocol in place, and has its servers hosted in ISO-certified data centres around the world (ISO 27001, 27017, 27018, 20000-1, 22301, 9001).

Tradesocio also implements 256- and 128-bit end-to-end encryption protocols, in addition to other advanced methods, such as DNS spoofing prevention and distributed denial-of-service (DDoS) attack prevention.

To prevent DNS spoofing, which is a data theft method whereby the attacker reroutes a specific domain name to a different IP address that is usually connected to the attacker’s website or a different one linked to the attacker’s website, Tradesocio uses advanced cryptographic network protocols, such as HTTPS, to establish the validity and genuine ownership of a website’s public key, and Secure Shell (SSH), which encrypts data before sending it to the requestor and authenticates it when it is received.

Similarly, to prevent any DDoS attacks known to stall business activity for an extended time if left undetected, Tradesocio monitors and blocks any DDoS input before it can harm the system.

Transformation starts within

Developed as a complete bundle of standalone “as a service” technology solutions, Tradesocio’s separately managed accounts (SMA), robo-advisory (DWA), portfolio design and management products (ETF Station) for investment banks and asset management companies – and its mirror and web trading products (Mirror Trader and TS Trader) for the brokerage sector – balance the scales between cost, purpose and functionality.

“We aim to bring opportunities and investors closer by helping financial services providers reduce costs and create more inclusive product packages for investors, whatever their investing potential,” said Tradesocio CEO Wael Salem.

With advanced interfacing capabilities allowing easy branding and customisation, Tradesocio’s versatile investment management and trading infrastructure supports multimarket entry, with access to more than 35,000 financial instruments listed on global exchanges. 

Backed by a comprehensive back end with integrated middle- and back-office tools marketed as TS CRM, Tradesocio’s technology gives financial institutions full control over the entire investing activity executed through the platform, with the ability to customise workflows and access privileges, but also tailor bespoke asset baskets and assign them to specific fund or portfolio managers according to algorithm-enabled risk management parameters, using dedicated workstations. 

Additionally, financial organisations can set and customise fees, monitor, calculate and report net asset value in real time, with the aid of the built-in revenue management and reporting tools. The advanced order management system lets them execute bulk orders in a single transaction and easily distribute them across investor portfolios.

The major advancement that Tradesocio brings to the development and implementation of investment management ecosystems is the capability to create, launch and manage personalised multi-asset portfolios, with its ETF Station and DWA products.

Financial institutions opting for either of the two solutions gain the distinct advantage to develop and launch their own electronic exchange-traded funds and offer them to investors at lower costs. 

“Our main goal is to provide financial institutions, irrespective of the market segment they serve, with a cost-effective and flexible solution that empowers them to compete effectively and create a unique digital investor experience,” Salem added. 

From a retail perspective, all Tradesocio solutions allow investors to easily handle multiple allocations from a single account in multiple-base currencies, and start, stop, increase or decrease the investment amount in real time while monitoring the performance of their portfolios. Additionally, the community and news feeds keep investors informed about any sudden price actions or company updates related to their selected assets or strategies.

Taking digital transformation up another notch, the company released a mobile application with each of its mirror trading, web trading, managed accounts and robo investing solutions, which offer investors access to investment opportunities wherever they are. For financiers, this translates to digital acquisition, lower lead-generation costs and improved customer lifetime value. 

Other novel initiatives of the company include TS Algo, a dynamic environment bringing together quant and algorithmic trading strategy developers and giving them the chance to share their algorithms and quants with brokerage firms, and TS Marketplace, conceived as a network of technology and financial organisations.

Looking at the bigger picture, such developments have the power to propel digital banking to the mainstream and complete the transformation. With a versatile product offering, Tradesocio is a financial technology provider to watch in the coming years. 

Learn more and register here for Tradesocio’s seminars on digital transformation and its impact on investment management.

This article was paid for by Tradesocio