What Should Financial Firms Consider Before Hiring a Colocation Service?

A growing business owner must consider a data center to manage their IT work. The data center helps small businesses to grow and take their management level to a higher place. But when it comes to financial firms, they have to consider a few factors before choosing the right colocation service as their partner. They have to look for at least four features including Security & Compliance, security, Hybrid Options and Disaster Recovery & Business Continuity. Read the article to the last to know what a financial services colocation provider actually offers to the company.

Security & Compliance

After starting digital banking, financial firms have strengthened their security and compliance even more. According to researchers, approx. 60 percent of Americans pay bills online and about half of them think of the security of their online purchase. More than 57% of people who do not use mobile banking think that security is the main culprit. To prevent data breaches, financial firms must take strict actions in the security area. They have to build a partnership with data center & cloud solutions providers because they specialize in this space is critical.

Speed

Ultra-low latency is the most important network-related element that every financial firm must consider. High-frequency trading systems like Wall Street do function on nanoseconds which means every second can cost money in these systems. According to the New York Times article, Google has explored technology that is able to track time in 100 billionths of a second. Therefore, there is no denying that speed is a very important element in colocation service.

Now it is understandable that speed is important to all financial companies from brokerage firms and mortgage companies to retail and investment banks. Keep in mind that any type of commercial bank needs an incredible amount of bandwidth to continue its work. As reported, mobile banking is the primary banking management platform for two-thirds of the U.S. population.

Disaster Recovery

Financial firms must consider before building a relationship with a financial services colocation service provider whether they have business continuity and market-leading disaster recovery or not for their consumers. If they do not have these services, then they are not a good option at all.

Hire Us

If you run a financial firm, then you must have to consider these factors before hiring any colocation service. You can contact Rack59 Data Center as they can provide various services including reliable edge colocation, nationwide network connectivity, storage and cloud computing.