Delta Data’s 2021 CIT Industry Study Finds Future Growth Lies in Small Market Plans


COLUMBUS, Ga., July 27, 2021 (GLOBE NEWSWIRE) -- According to a just published industry study, the continued growth of the CIT industry is dependent on multiple factors, including pending legislation from Washington for 403(b) usage, deploying technology to expedite client onboarding and improve counterparty communications, and an increase in transparency to mitigate historical pain points with servicing and compliance. The study found an industry drive towards the small plan, which is a change from the legacy business model on which the original CIT product was built.

Delta Data’s annual study reflects input from a survey involving 24 different bank and trust companies, asset management companies, and financial advisors representing several of the top ten financial entities in the United States. Delta Data is a fintech company providing infrastructure technology for the pooled investment industry.

The study details current industry assessments on everything from CIT enabling technologies, marketing, fund selection, 403 (b) access, counterparty communications, onboarding processes, launching of CIT’s, and the impact of the SEC enforcement action on the Great Plaines Trust Company.

Insightful data from the study found that the industry suffers from a lack of visibility on basic data like prices, which slows adoption and hinders efficient operational execution, resulting in a need for standardization and managing visibility.

Additionally, the drive to target smaller plans, enabled by utilization of counterparty communication technology, was identified as a driver for future growth. “100% of CIT bank sponsors and 75% of asset managers indicated they were planning on targeting this market segment. The race is on to own the down-market opportunity,” says Whitfield Athey, CEO of Delta Data Software, sponsors of the study.

Study authors include Delta Data, AON, Morningstar, NASDAQ and Streamline partners. The study is available here from Delta Data. A July 28, 2021 webinar analyzing results from the study includes participants from Delta Data, AON, Morningstar, NASDAQ and FIS. Register here.

About Delta Data: 
Delta Data provides back-end solutions processing trillions of dollars in assets for the mutual fund industry, supporting four of the top 10 US banks, four of the top five US retirement recordkeepers, and four of the top five US investment managers. Delta Data’s industry-vetted SaaS integrated technology suite enables financial companies to control the dynamic environment of regulatory change and risk associated with internal and external data management. Delta Data’s unique position within the financial industry allows for the maximum effective application of the latest technologies such as Artificial Intelligence and Machine Learning to provide a turnkey solution for financial services companies seeking to stay ahead of the change. www.deltadata.com 

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BIGfrontier for Delta Data
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