Introduction

The pursuit of alpha is no longer confined to investment strategy-operational excellence is now a key differentiator. As settlement windows compress and trade volumes climb, post-trade friction points like settlement fails and inventory fragmentation have become mission-critical challenges. Tools like OpsGPT^® are transforming how firms resolve fails-reducing multi-day investigations to minutes-and empowering teams to optimize inventory across systems and legal entities in real time. The payoff is already visible: reduced penalties, unlocked capital, and greater operational efficiency.

Now, the next evolution is underway.

The rise of reasoning models (such as OpenAI o1) and AI agents, powered by a unified data model, is redefining what GenAI can do. No longer limited to language processing, these models can now reason, interpret vast datasets, and make context-aware decisions. This expands the scope of automation-enabling AI to not just support operations, but also orchestrate them through proactive delegation, intelligent exception handling, and adaptive workflows. It’s more than a shift in tooling-it’s a shift in operational thinking.

For firms that embrace this shift, the reward is significant : faster and better informed decisions, sharper risk insights , and lower costs-all powered by a new engine of competitive advantage: operational alpha.

Pressure is mounting on institutions to rethink operations across the trade lifecycle. The move to T+1 settlement in North America—and Europe’s expected shift in 2027-requires faster, leaner post-trade processes. Inconsistencies across global settlement cycles and surging Fixed Income Clearing Corporation (FICC) market volumes (projected to rise by over $4 trillion, according to the DTCC) are further stretching legacy infrastructure. Critical functions like trade matching, margining, and fail resolution are under strain, and stakeholders are pushing for system rationalization to reduce costs and increase agility.

The technology gap between front and back offices is closing fast. GenAI is no longer experimental-it’s essential. Following the deployment of OpsGPT (in September 2023), Broadridge’s GenAI-powered operations solution, firms have seen process times halved in areas like fail research, alongside improvements in risk control, cost efficiency, and governance.

With OpsGPT, firms are deploying intelligent, context-aware automation that not only eliminates repetitive tasks but also surfaces insights and accelerates throughput. Operations teams are adopting a real-time mindset allowing for continuous agility. For back offices long considered reactive, GenAI introduces foresight, adaptability, and scale.

This isn’t about doing the same things faster-it’s about working smarter, with intelligence embedded into the process. In a landscape where milliseconds matter, operational alpha may be the most valuable edge of all.

AI agents lead the operational reset

• Turning fail resolution into prevention: AI agents analyze root causes, classify fails, and guide resolutions-cutting resolution cycles from days to hours and setting the stage for predicting and preventing settlement failures before they occur
• Optimizing inventory in real time and validating recommendations: Agents diagnose the root cause of delivery fails, recommend transfers, and reconcile records across global accounts-helping firms free up capital, reduce funding costs, improve settlement efficiency and respond to shortfalls proactively
• Orchestrating operations: AI agents coordinate complex workflows end-to-end-assigning tasks to digital coworkers, automating responses, and executing processes based on natural language prompts or real-time data and validating recommendations
• Delivering unified operational insight: By integrating data across platforms and entities, agents offer firm-wide transparency-enhancing risk management, decision-making speed, and strategic execution
• Scaling intelligence, not headcount: With self-learning feedback loops and adaptive logic, AI agents continuously improve processes-fueling operational alpha through smarter systems, not larger teams

Data strategy unlocks transformational benefits

Behind every successful AI-powered operation is a strong data foundation-and for Broadridge, that foundation is Broadridge Exchange (BRx). BRx is a unified data model that standardizes and harmonizes information across asset classes and systems. Serving as the backbone of Broadridge’s digital infrastructure, BRx enables consistent, interoperable data to flow seamlessly between front, middle, and back-office functions-eliminating silos, makes resources fungible and laying the foundation for advanced analytics, automation, and regulatory reporting.

By consolidating fragmented data sources, BRx drives tangible operational efficiency. It reduces the need for manual reconciliations and improves straight-through processing, ultimately lowering cost and risk. The standardization of data also enhances firms’ ability to manage risk proactively and respond to regulatory demands with greater speed and accuracy.

Critically, BRx enables faster adoption of emerging technologies. Whether integrating AI agents, blockchain, or cloud-native platforms, firms benefit from a cleaner, more coherent data layer that accelerates deployment and reduces time-to-value. One application of BRx is Broadridge’s Tradeverse platform, which simplifies access to normalized, cross-system data-empowering teams to execute data tasks faster, with fewer inputs.

As firms navigate increasingly complex capital markets, BRx provides a strategic advantage. It supports enterprise-wide modernization, improves data transparency, and enables real-time insights-turning operational infrastructure into a source of competitive strength. In short, BRx transforms data into a true enabler of operational alpha.

Download the full whitepaper here