See also:

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Non-Financial Updates: Time is money

Technical Forum: When it comes to disaster recovery - assume the worst and plan accordingly

Customer input helps to finalize contracts

Member Support team eases the way for new customers

FundSERV Factoids

FundSERV Network Performance

All articles

Let's face it. At one time or another, most of us have asked a question and been embarrassed that the answer was so obvious. I once asked a cab driver in Boston to take me to the very building in front of which he was parked. And then there's always the humbling help desk response: "Did you check the manual?" The thing is, you don't know what you don't know. The answer may seem obvious but if you haven't been shown, how would you know what to ask for?

To a certain extent, the same holds true for some FundSERV customers. As a utility, FundSERV hasn't had a need to market or advertise its services. As a result, many customers see FundSERV solely as a network service designed exclusively for mutual fund transactions. At inception, that was true. But today, FundSERV offers a variety of solutions that could be of enormous value to other areas of our customers' businesses. We want customers and prospective customers to understand that FundSERV doesn't need to reinvent itself in order to accommodate new customer applications, as long as they're for similar products and processes. FundSERV is flexible enough that different customer groups can have a variety of solutions using FundSERV's existing infrastructure.

I suggest customers ask themselves if there might be more ways they could leverage their investment in FundSERV — perhaps with investment products they haven't considered putting on FundSERV. The key is to consider if the product is similar to products currently on FundSERV, or if the distribution model is similar. New applications from customers don't need to be traditional mutual fund products at all. In fact, many companies have already adopted FundSERV's technology for similar products. Now, along with mutual funds, FundSERV is handling segregated funds, hedge funds, linked note products, remanufactured funds (funds of funds) and offshore funds.

FundSERV is committed to increasing business-to-business interoperability within the investment fund industry and increasing the automation levels of our customers. FundSERV customers have many different business and product lines as well as multiple distribution channels and models.

FundSERV offers numerous flexible application services with many uses and benefits people have yet to consider. It is just going to take some imagination on the part of a few to make it really pay off for their organizations. The heroes will be the innovators who ask things like "What paper is redundant if we receive FundSERV files?" or "Why don't we utilize FundSERV for Group RSP business?" or "What other information flows are many to many?"

Here are a few examples to inspire customers to think creatively about new ways to use FundSERV.

• Financial institutions might consider utilizing FundSERV from the outset in development of new proprietary products, either for manufacturing (buying underlying funds), distribution (third party and internal) or both.
  
  
• Intermediaries might consider leveraging FundSERV's security infrastructure, saving themselves the costs of developing and managing the same resources in-house.
  
  
• Fund manufacturers might consider other products, such as institutional funds, that could benefit from FundSERV's automation and Web-reporting tools. They might also consider encouraging their customers to join the FundSERV network — a move that would benefit both parties.
  
  
• Providers of defined contribution administrative services might look to FundSERV to handle bulk transactions with investment managers on behalf of plan sponsors.

The investment fund industry is complex, and the convergence of traditional channels and products is increasing. Ten years ago the question was whether or not a customer operated in the retail mutual fund segment, and that defined the interaction and use of FundSERV. Today, the questions relate more to what services customers might require to efficiently administer investment accounts, whether they relate to manufacturing, distribution or points in between.

Maybe the best question to ask is "Why don't we use FundSERV for more of our business processes?" If the answer isn't obvious, we would like to help. Simply call me at 416-350-2540 or Michael Reaume, manager, business analysis at 416-350-2510 or e-mail him at michael.reaume@fundserv.com.

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