BondIT, Scorable merge to boost fixed income digital shift

Monde
On the 11/20/20 at 7:58AM

by

Tuba Raqshan

The merger will create a one-stop platform for asset and wealth managers to fully automate and optimise portfolio management and research process.
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BondIT, an independent portfolio construction technology provider for fixed-income, announced a definitive merger with Scorable, an AI-driven credit analysis provider. The combined companies will target the $80trn global asset management market, to transform the fixed income investing space. The transaction is expected to close by the end of 2020.

The resulting entity will provide fully integrated portfolio management and research services, using cutting-edge tech and advanced AI for users to build and analyse portfolio within minutes rather than days. This will enable fixed income asset managers and financial advisors to automate and optimise the investment process, the firm said.

Asset managers can also use the combined platforms can help rebalance existing portfolios and define and manage universes, including approved or restricted user lists, specify individual portfolio objectives and bond-level constraints to get real-time results.

Fixed income investors still rely heavily on manual-driven procedures, but in light of market and cost pressures, intelligent automation is increasingly necessary to stay competitive, said Etai Ravid, CEO of BondIT. Ravid said that merging the platform will enable them to better serve the evolving digital needs of fixed income clients.

Most portfolio managers have access to a large amount of data, but they struggle to turn it into a competitive advantage, underlined Philippe Padrock, managing director of Scorable. “It needs the right tools to transform data into useful intelligence. Implementing technology to centralise information and data is imperative, and Scorable’s explainable AI does exactly that by turning vast amounts of data into relevant insights and translating these into appropriate actions based on the portfolio objectives – all in a fraction of time that the manual process would take,” added Padrock.