Vendor Analysis
published on May 07, 2019
Report Overview:
This NelsonHall assessment analyzes DXC's offerings and capabilities in Transforming Wealth and Asset Management Services
Who is this Report for:
NelsonHall’s Transforming Wealth and Asset Management Services Vendor Assessment for DXC is a comprehensive assessment of DXC’s Wealth and Asset Management Services offerings and capabilities designed for:
- Sourcing managers monitoring the capabilities of existing suppliers of capital market process outsourcing and identifying vendor suitability for Wealth and Asset Management Services RFPs
- Vendor marketing, sales and business managers looking to benchmark themselves against their peers
- Financial analysts and investors specializing in the support services sector.
Scope of this Report:
The report provides a comprehensive and objective analysis of Wealth and Asset Management services offerings, capabilities, and market and financial strength, including:
- Identification of the company’s strategy, emphases and new developments
- Analysis of the company’s strengths, weaknesses and outlook
- Revenue estimates
- Analysis of the profile of the company’s customer base including the company’s targeting strategy and examples of current contracts
- Analysis of the company’s offerings and key service components
- Analysis of the company’s delivery organization including the location of delivery locations.
Key Findings & Highlights:
DXC entered the wealth and asset management services business when it acquired Xchanging in May 2016. Xchanging’s W&A management services businesses services two key markets:
- Germany
- Italy.
The German business was started in 2004 by Xchanging with the purchase of a 51% share in European Transaction Bank (ETB), a subsidiary of Deutsche Bank, which delivers operations services to its parent. Deutsche Bank sold ETB to improve operating efficiency and sell additional services to other banks in the German and European markets.
In May 2014, Deutsche Bank bought Xchanging’s ownership in the joint venture; part of the processing services was returned to Deutsche Bank ownership, while the remainder continued to be delivered by Xchanging. DXC’s Deutsche Bank operations are now delivered out of the legal entity Fondsdepot Bank (FDB). FDB is a licensed bank in Germany and operates in the German market as an investment account administration provider, offering custody and administration of investment accounts for retail investors, centralized fund procurement for institutional customers, and BPS and ITO for financial service providers.
The Italian business commenced operations in 2001 under the name Kedrios. Kedrios was founded to develop and deliver ISO 9000 compliant solutions and services for the financial services industry in Italy. In 2010, Kedrios was acquired by Xchanging from SIA, where it continued to provide fund administration software and business process outsourcing. In 2012, Kedrios was merged with AR-Enterprise, a business process outsourcing and wealth management software platform provider under the newly formed Xchanging Italy brand.
In 2019 DXC announced its intention to acquire Luxoft, which it expects to close by the end of Q2 2019. Luxoft is expected to bring significant agile development capabilities, a sizeable nearshore delivery, and ~$900m incremental revenues, which enhance the W&A services business.