Cloud Selection Tips
Today on the blog, Managing Director of RFA George Ralph shares his top cloud selection tips.
Many new hedge funds choose the cloud when deciding on a technology set-up. Depending on specific needs, cloud technology can offer hedge funds several benefits that traditional on premise IT systems do not. Despite the benefits, however, there are still many factors to consider when making your decision.
Most hedge funds choose the private cloud, which is a technology environment that delivers scalability and self-service through a proprietary architecture that is dedicated to a single organization. The private cloud is one of the most popular choices for hedge funds for a variety of reasons, including:
- Cost efficiency
- Low CAPEX
- Ability to provision machines
- Ability for direct control over the cloud environment
- Ability to change computing resources on demand
- Ability to create multiple machines for complex computing jobs
When evaluating potential cloud services, it’s important to keep in mind that not all clouds are created equally. Make sure you understand which types of features are built into your provider’s cloud, so that can understand the value and security features that will be used to protect your firm’s confidential data. As a starting point, make sure the following features are built into any cloud you select:
- Web filtering
- Intrusion Detection and Prevention
- Data Encryption
- Multi-factor authentication
- Data Segregation
Other factors to consider include how your data will be separated from other users on your provider’s cloud, where the cloud infrastructure resides, what type of hardware is used, and which individuals will have access to the cloud. But the evaluation process doesn’t end there. You also must be aware of how your office space will work with the cloud infrastructure by taking the below steps.
Conduct a site evaluation of the desired new space: Office layout will impact which type of technology and performance is available.
Understand what type of internet connection is available: Point to point connections are highly preferred for the cloud due to the fact that the cloud requires significant bandwidth. Also consider whether the office building is pre-lit for a direct connection to the cloud.
Set a budget and project timeline up front: Project plans mitigate unexpected costs and project delays.