As their revenues decline, hedge funds will spend $882 million on technology in 2009, 40% less than this year, according to TABB Group. But they will not be so quick to reduce spending on front-office trading technology.

“Any software or service that directly supports the investment process stands a far better chance against this inevitable tide of cost cutting,” said Cheyenne Morgan, a research analyst with TABB Group.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.