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Citi Prime Finance’s 2011 IT Trends & Benchmarks Survey
Medium Funds
: Total IT Spend
• More than one-third of medium funds spent between
$500,000 USD and $1 million USD on their IT budgets,
but an equal percentage spent less than this amount
• Average total IT spend is $909,000 USD for
medium-sized survey respondents
• Total IT spending is 6 basis points of AUM
- 2 bps – personnel
- 1 bps – hardware & networks
- 1 bps – software
- 2 bps – data
Medium Sized Hedge Fund Benchmarks [Manager’s with AUM between $500 million
and $3 billion USD]
Source: Citi Prime Finance
$1M - $3M
$0 - $500K
37%
27%
Medium Funds: Total IT Spend
36%
$500 - $1M
31%
35%
15%
19%
Software
IT
Personnel
Data
Source: Citi Prime Finance
Medium Funds: IT Spend by Category
Hardware
& Network
Medium Funds
: IT Spend by Catagory
• The allocation toward data expenses almost doubles
as funds grow beyond the $500,000 USD AUM
threshold, accounting for 31% of the total IT budget
• Medium funds begin to spend less proportionally
on software, as the initial software employed by the
fund continues to be leveraged as the fund (and the
budget) grows
Total IT Spend