The Untold Power of Intelligent Operations in Securities Trading

Since 2016, fintech has introduced a wave of intelligent scenarios—such as smart customer service, trading, and research—into the securities and fund industry, creating an apparent "intelligent era".

The author notes that while some applications truly address industry pain points, many are merely hype.

To provide insight, the article outlines common "smart XX" scenarios, focusing here on intelligent operations.

Intelligent Operations – an often ignored scenario

Intelligent Customer Service – a scenario prone to overreach

Intelligent Investment Education – a scenario often underestimated

Intelligent Trading – a scenario pursuing perfection

Intelligent Research – a challenging scenario

Intelligent Advisory – a scenario still in progress

Intelligent Wealth Management – a scenario with a promising vision

Below is a plain‑language discussion of intelligent operations.

1. Typical Operations Scenarios in the Industry

The author emphasizes that system development, testing, and project management are all demanding, but this section concentrates on the hardships of operations staff, especially in the securities sector where system variety and real‑time requirements are high.

Pre‑market : Staff arrive before 8 am to inspect data centers and disaster‑recovery sites, restart market gateways, load market data, and ensure systems are ready before 9:15 am.

During market hours : Continuous monitoring, troubleshooting, and emergency preparedness are required, with occasional assistance in detecting abnormal trading behavior.

Post‑market : Staff generate end‑of‑day reports, process settlement files, back up data, and prepare systems for the next trading day, often working through nights.

Holiday challenges : System upgrades and maintenance frequently occur on weekends or holidays, leaving operations staff with little time off and additional testing and restoration tasks.

Everyday frustrations : Operations work is repetitive and often underappreciated, leading to misunderstandings with management.

2. Why Operations Matter

Operations impact three key areas: customer continuity, corporate reputation, and overall business performance. Security incidents are classified into four severity levels, and information system security is a critical evaluation metric for securities firms, affecting regulatory compliance, funding contributions, and business opportunities.

3. Complexity of Operations

Complexity stems from both internal and external factors: rapid product launches, fragmented system landscapes, and numerous external market interfaces create a highly intricate operational environment that demands meticulous, patient, and focused work.

4. Evolution of Operations

The industry has progressed through five stages:

Manual operations

Script‑assisted tasks

Automated operations (automation + monitoring)

DevOps integration

Intelligent Operations (AIOps) using AI/ML for anomaly detection and decision support

Major vendors such as ServiceJetiAuto and KC‑AOM provide automation platforms, and many large firms adopt ITIL‑based processes.

5. Feasibility of Intelligent Operations

Key drivers include the lack of fault‑analysis tools, the need for predictive failure detection, and the necessity for finer‑grained operational insight. AI can leverage massive logs, environmental data, and case libraries to predict issues, pinpoint root causes, and generate remediation reports.

6. Principles for Advancing Intelligent Operations

Three guiding principles:

Security first – rigorous testing before any production changes.

Gradual rollout – start with decision support and fault localization before full automation.

Avoid blind adoption – ensure the existing system landscape justifies AI investment.

7. Practical Recommendations

Three essential actions:

Document and report incidents promptly to satisfy regulatory requirements.

Do not over‑rely on automation; retain manual skills for critical situations.

Strengthen foundational IT capabilities, as solid basics are the prerequisite for any intelligent initiative.