Hedge Fund Consulting From Fractal Systems

Business people meeting

How To Manage Hedge Funds?

The Scrum framework, and the concept of Agile management, are bringing changes to many sectors. Faster projects that focus more on end requirements can increase company efficiency and lower costs.

Hedges funds, and the wider investment and private equity sectors, can benefit from Agile techniques. Financial services has typically been slower to adopt such new techniques, but the nature of their projects makes them especially suited.

Agile and Scrum in Hedge Funds

Agile techniques introduce a lean, iterative approach to project management. This reflects the true nature of businesses, and projects, as changing entities. Treating a project or product development as static, with fixed requirements, is not the best way to optimize results.

Scrum is the leading implementation framework for Agile consulting techniques. It has been in use for over 25 years across many industries. Financial services may have adopted them later than other sectors, but are now doing so for real benefit.

Scrum for Software Development

The Scrum framework is most commonly associated with software development. This lends itself well to such an approach. An iterative software development process produces functional results faster and enables feedback and improvement to be incorporated.

Software projects are common in financial services and with hedge funds. These have often been the first use of Scrum in these sectors. Getting such developments to market fast is vital in a competitive sector. Scrum also suits regulatory-related projects, where requirements change often.

More Applications for Hedge Funds

Software development is not the only area that hedge funds can benefit from Scrum. Agile processes are well suited to dynamic and changing environments, where cooperation from multiple teams is needed. The Scrum framework prioritizes communication, with defined, regular ways for all parties to review progress and challenges.

Agile techniques can also be applied to portfolio management. Managing a portfolio has similarities with any large and complex business project. Approaching this using the Scrum framework would involve treating the research and planning of the portfolio as an iterative process. Roles would also be defined in line with the framework and regular meetings held.

Training for Hedge Fund Consultants

There are many training courses available covering the different areas of Agile and Scrum. Which of these are the most appropriate for hedge fund projects?

There is specific additional training possible for specific roles within the team, and for techniques to apply Scrum to larger projects with multiple teams.