Data analytics in financial services still has a long way to go before being used as effectively as it should be, according to Boston Consulting Group.
Presenting to the Netwealth Study Tour in New York, Boston Consulting Group senior partner and managing director Brent Beardsley said most people “are not doing enough” when it comes to data analytics.
“[Data analytics] is another huge thing and again I think we’re still in the early stages of it,” he said.
Mr Beardsley said that some “more advanced players” such as Morgan Stanley are investing into their data analytics capacity, but many challenges persist.
“One of the problems with data analytics is that big data is often small data, with a lot of problems,” said.
“A lot of the analytics techniques are far off pace with the availability of data that’s out there.”
Mr Beardsley added that a lot of organisations “aren’t treating data as a key core strategic asset”, and this was evidenced by the number of businesses which lack a chief data officer or similar role to oversee the use of data and analytics within the business.