How Could Junior Traders Benefit From RPA

How Could Junior Traders Benefit From RPA

Companies within the Financial Services sector stand to benefit the most from RPA due to the high-volume, repetitive nature of their work. Within Trading in particular there is a huge amount of potential to automate back-office processes that consume a great deal of time when performed manually. At all seniority levels, the number of manual tasks that are carried out on a day to day basis is enormous. As well as the standard back-office administrative tasks that can be found across virtually all sectors, algorithmic trading systems have become increasingly popular due to the relative ease with which they can be implemented. This is because the tasks that these algorithms perform are based on a fixed set of well-defined rules that are more or less entirely logical.

A further adoption of automation within Trading could have a massive impact on the organisational effectiveness of FS companies, cutting out the reliance on manual activities performed for the huge volume of transactions that occur. Junior traders typically work over 50 hours per week due to the large amount of data entry they are required to perform. These tasks include P&L preparation, P&L reconciliation, trade booking and statement generation. Automating these kinds of labour-intensive tasks by collating data from different locations would drastically improve employee morale. Further adoption of automation would free up a large proportion of employees time, allowing them to focus on more complex, higher value tasks.

Naturally, in circumstances where large amounts of information is being manually inputted, there is a high rate of human error - automating data-entry tasks could significantly increase accuracy and overall efficiency, thus reducing overall cost. In one example, UiPath automated the daily P&L preparation process for a Trading firm. The way in which this process was being performed prior to automation was considered highly inefficient and time consuming, causing a great deal of inaccuracies and errors. As a result of automation, handling time was reduced from 60 minutes to 20 minutes with a report generation accuracy of 100%. After incorporating RPA into their business the job satisfaction of the company's employees drastically increased. Employees were able to work on more interesting and stimulating tasks which resulted in a more engaged and motivated workforce; as a consequence of this, the overall productivity of the company increased. This is evidence of a small scale change having a big scale impact, made possible through the adoption of RPA.

Universally, across all types of Trading markets, there are large amounts of data entry and book-keeping tasks that are performed. Cumulatively, RPA could save these companies and their employees a huge amount of time (something Traders are typically lacking), and have a profound overall impact on the company's efficiency and profitability. If Traders can dedicate more time to performing higher value work, rather than wasting precious time working on administrative tasks, the company will not only receive better value from each employee but will also benefit from an overall increase in company efficiency.