Redefining institutional investing
In 2019, we announced our goal to architect a unified asset servicing platform that enables investment managers to connect their front, middle and back office, built on an enterprise data foundation that captures and curates critical data across the investment lifecycle. We named the platform State Street Alpha.
Five years later, Alpha has 23 live mandates as of Q3 2024, across many of the world's largest and most complex fund managers and asset owners, with a collective $59T of assets on our front-office software, Charles River. Our vision has been validated as clients such as Lazard, BMO Asset Management and LGIM seek to shed decades of accumulated technology debt by partnering with us to re-think their operating models, leverage data more effectively and expand into new asset classes, distribution channels and product offerings faster.
As we continue on our mission to move the industry forward and deliver better outcomes to the world’s investors and the people they serve, we have honed in on three concepts that underpin Alpha, centered on data, solutions and innovation.
Helping clients turn disparate data into new insights is a key differentiator driving their ability to generate superior risk-adjusted returns, grow and retain AUM, and deliver novel, low-fee products to current and future generations of investors.
Alpha’s cloud-based technology was purpose-built to address the many complexities inherent in harnessing, enriching and distributing trusted data across the investment enterprise and to external partners. Our industry leadership leveraging AI for anomaly detection ensures that decision-making is based on the most accurate and timely data. Our use of generative AI enables powerful self-service data analysis and visualization capabilities that speed time to information by orders of magnitude. In private markets our ability to ingest and process vast amounts of disparate unstructured data across financial statements and spreadsheets delivers massive productivity improvements by replacing tedious, time-consuming manual processes.
Top performers know that to achieve success, they need to focus on their differentiators and core competencies – what truly sets them apart as an investment firm. Anything that is non-core, should be offloaded to a trusted provider, to leverage their skill set, and breath of investment solutions.
Our solution suite across the investment lifecycle is second to none. From portfolio analytics and trading to fund accounting and custody, Alpha’s technology and services support practically every asset class, fund structure or regulatory jurisdiction globally. This unprecedented flexibility was enabled by building Alpha as an open architecture platform that streamlines interoperability with leading data, analytics, and liquidity providers. This includes State Street’s well respected Global Markets FX and repo venues, collateral management and securities finance franchise.
Finally, our fintech pedigree explains our laser focus on relentless cross-lifecycle innovation to ensure that our technology and services continue to evolve one step ahead of the industry and our client’s ever-changing challenges and regulatory requirements. Legacy solutions weren’t built with extensibility in mind, and therefore we view innovation as core to ensuring our clients never become obsolete, and will continue to help them outpace the market.
Whether it’s AI, tokenization, cloud or quantum computing, our research and development teams are bringing innovative new applications from proof-of-concept to production, while ensuring that our work is conducted in the most responsible manner aligned with our significant responsibilities as a G-SIFI. At State Street we move the industry forward with product innovation, whether that’s launching active fixed income ETFs, helping clients build more tax efficient portfolios, or bringing digital custody solutions to market.