The flow of data and information is essential in every industry. As technology evolves, the importance of streamlined, efficient data processes has grown as well. Financial institutions, especially, are beginning to realize that making this happen internally is not only getting more and more expensive, but the ROI for their on-premise data center is not paying off.
With the sheer volume of personal and private data being collected by financial institutions, it is imperative to seek out greater levels of security. Today’s modern colocation data centers can offer a multi-layered security approach. These physically secure spaces ensure the safe collection, storage, and transfer of valuable financial data.
The colocation data center approach is essential for financial institutions as there is an increased need for mobile services, artificial intelligence, and blockchain technologies, as well as the collection of terabytes of personal information. Colocation data centers are well-positioned to serve the financial industry.
Aid in Compliance
Financial institutions must be compliant with the requirements of state and federal regulations The regulations are intended to ensure that banks and institutions are trustworthy and transparent, working cohesively for their customers. But, keeping compliance can be expensive and resource-intensive. Colocation providers help financial institutions meet these regulations by not only keeping data secure but offer environments that are cost-effective when determining risk assessments and compliance requirements.
Recovery from Disasters
There are many potential natural and manmade disasters that could affect the transfer, collection, and security of data. By using a colocation data center, financial institutions are protecting themselves from these risks. Instead of storing their data in an on-premise facility, colocation providers offer a geo-diverse location ensuring data is kept safe and available in a separate disaster recovery space.
Enables More Efficient Financial Trading
A great deal of growth has happened in trading due to technological advancements such as smartphones. The development of financial apps has also made it possible for more people than ever to engage in stocks and trading, which has increased the need for financial institutions to use third-party data centers. When it comes to trading, colocation data centers reduce the time it takes to execute trades and enable multiple data streams. Colocation data centers streamline the trading process by offering multiple connectivity options, making it faster and more effective to keep up with high-frequency trading.
Finding a Financial Data Center
Any financial institution that is looking to move its IT infrastructure to a colocation provider will want to find a high-quality facility that can provide the convenience, ease, and security they’re looking for. Along with assisting in compliance, providing disaster recovery, and streamlining connectivity, many colocation data centers are locally owned and operated, offering high levels of service and expertise.
RACK59 is a professional colocation data center that meets the security needs of financial institutions. Secure, powerful, and flexible, RACK59 is a customized provider designed to serve banks and other financial institutions.