NCI: Boutiques must use 'shared technology' to compete against passives

Rising regulatory cost environment

Tom Eckett
clock • 3 min read

In order to compete in an environment of rising regulatory costs and increasing competition from passives, active managers must take steps to innovate through the use of shared technology, according to a report by the New City Initiative (NCI).

Amid rising regulatory costs, asset managers must employ solutions such as blockchain and "shared technology" to achieve greater economies of scale, the NCI said in its paper Delivering value for money - The case for boutique active management. Charles Gubert, author of the report and consultant to the NCI, which represents the interests of asset management boutiques, highlighted opportunities for the industry "through increasing the use of shared technology or collaborative purchasing of outsourced services", but said this will require a "concerted effort and organisation". One NCI m...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Technology

Could AI turn investors into herds of 'turbo sheep'?

Could AI turn investors into herds of 'turbo sheep'?

'Investors remain as susceptible to herding, panic and euphoria as when news travelled by pigeon'

Simon Skinner
clock 14 October 2026 • 4 min read
Advisers urged to steer clear of 'hyperscale' AI models

Advisers urged to steer clear of 'hyperscale' AI models

‘You are feeding your eventual replacement’

Sophia Panayi
clock 14 October 2026 • 2 min read
Warnings that most adviser AI startups will disappear

Warnings that most adviser AI startups will disappear

Ian McKenna urges advisers to get ahead of open financing

Sophia Panayi
clock 09 October 2026 • 2 min read