Hedge funds are navigating increasingly complex realities when it comes to managing technology in today’s environment. In the 2023 Hedge Fund Managed IT Trends Report, Agio surveyed 121 hedge fund practitioners spanning the technology, operations, cybersecurity, compliance, and finance fields for an in-depth look into how economic and employment trends are shaping their technology management practices and preferences.  

The report explores the current forces pushing firms to consider new approaches to IT management, with the current weak economy and the Great Resignation playing key roles in how hedge funds manage and support their IT services. As firms seek to cut costs, improve end-user support, and scale their IT operations efficiently, outsourcing is emerging as a popular solution due to its cost efficiency and increased access to technology expertise. 

2023 Hedge Fund Managed IT Trends Report

In fact, more than half of firms (55%) that currently outsource their IT management and support said they would increase outsourcing due to inflationary pressure. Firms that currently insource their IT management also unanimously (100%) said they would look to outsource over the next two years.   

Cloud and AI are also emerging as crucial considerations. Seventy-five percent of firms that plan to expand their existing outsourcing efforts want cloud management and support. Leveraging cloud technology allows hedge funds to reduce their dependence on physical infrastructure and on-site personnel, while providing greater flexibility and scalability to adapt to changing market conditions. Firms are leaning on AI for faster time to resolution, reduce the number of cases/tickets, and enhance service delivery. 

Download the full 2023 Hedge Fund Managed IT Trends Report to read more.   

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