The TRADE 60 | Page 46

[ C O V E R S T O R Y | C AT H Y G I B S O N ] MiFID II at the start of last year, in conjunction with the increasing electronification of trading and available data. These three factors – not to mention harder to define elements, such as Brexit – mean that buy-side firms such as RLAM must be better prepared to adapt than ever before. Much like its peers, RLAM is em- bracing developments in technol- ogy and data to aid traders and the desk in general as much as possi- ble. The firm appointed a new head of data strategy last year to bolster its capabilities in this area and Gibson says this will be an ongoing focus for RLAM, to create tools and resources that aid both the trading and investment processes, as well as enhanced client reporting. Gibson says that it would be “out of touch” to say that its data is where she wants it to be, because “that space is changing so much that it’s never going to be a case of being done with a full stop. It will always be an ongoing process for us all." Likewise, the adaptation and adoption of technology creates its own set of issues. While the buy-side in general are happy to espouse on the new opportunities technology can provide, Gibson takes a slightly more pragmatic view of the issue, informed by the position of RLAM as a “traditional asset manager”. “We are not technologists, that is not our subject matter expertise, so for us, it is a matter of buying "I would love to say that most technology is plug and play, but unfortunately it's not, so there is a lot of cost involved." 46 // TheTrade // Summer 2019 solutions rather than building them ourselves,” she explains. “Even when you buy solutions you still need to have the knowledge associated with it, because someone has to evaluate 10 different execution man- agement systems, for example, to come up with the best option. “With most technology there is no single best provid- er out there, you really review what you have internal- ly and try to find the best fit. I would love to say that most technology is plug and play, but unfortunately it’s not, so there is a lot of cost involved.” That is not to say that Gibson doesn’t see the advan- tages and opportunities that technological develop- ment can offer to the buy-side, and she says that she is fascinated by the evolution of artificial intelligence. RLAM currently utilises for some of its quantitative models, although there is still a long way to go until AI can be used as an outright investment decision-making tool in the active space. “For me, the fundamental issue in the investment space, especially when you step out of the passive or quant-drive investment strategy is that markets aren’t