In our last newsletter article, we explored outsourcing in the hedge fund industry. To share perspectives on the industry, we contacted Vaishali Kasture, Managing Director, India at Butterfield Fulcrum – a globally reputed independent hedge fund administrator.  The company currently services around 700 hedge funds and has been in existence for over two decades.

Hedge fund companies have faced the brunt of the economic crisis and the ensuing market conditions impacted fund performance and investor confidence.  Research by HedgeFund Intelligence estimates more than 200 hedge funds were shut down in North America alone.

The dictionary definition of innovation reads as follows: “something new or different introduced”. Quite simple, isn’t it? Therefore, to put it in the context of the outsourcing business, when a client says he expects innovation, does he mean he wants to see something different or new? Maybe!

NASSCOM estimates the global KPO industry to reach $17 billion by 2010. With over 70% of this being outsourced to India and employee strength expected to grow from around 80,000 - 1,00,000 in 2005 to 250,000 by the end of 2010, India is emerging as a top KPO destination.