Clearing The Air: Private vs. Public Cloud

Leveraging the cloud allows businesses of all industries to gain agility and create scale.  Despite the popularity of cloud computing today, the selection process continues to be a confusing (and frustrating) topic for most.  So let's clear the air...

There are two types of private cloud solutions: 1) Build Your Own, where businesses construct their own private cloud in-house by purchasing hardware, software and data center space, and 2) Partner with a Third Party Provider, where businesses outsource their IT infrastructure and receive it as a service.  (This is referred to as IaaS or 'Infrastructure as a Service'.)  

Choosing the right type of private cloud solution for your business typically hinges on the size and technical expertise of your organization.  Larger organizations like Goldman Sachs or Morgan Stanley follow the 'Build Your Own' model, which proves to be costly as it requires large teams of IT professionals and continuous reinvestment in technology.  Smaller organizations that do not have an abundance of in-house technology resources will outsource the management of their technology requirements to a third party provider, offering a lower total cost of ownership than the ‘Build Your Own’ model.

Similar to the outsourced private cloud, the public cloud is also managed by third party providers.  Organizations that do have an abundance of in-house technology resources such as retail or quant shops will leverage the public cloud of Amazon, Google or Microsoft (just to name a few) purely as IaaS.  Doing so requires the hiring of IT professionals in-house (an added expense) to be able to support it.  

Unlike public cloud providers, many private cloud providers are industry-specific and tailor their services to client needs.  Leveraging a private cloud provider allows businesses to receive “everything” as a service -- and along with this end-to-end service also comes better quality and security.  This includes onsite and offsite support, disaster recovery, cybersecurity audits and world-class processes.  

Hedge fund and asset managers are especially attracted to these perks, which explains the alternative industry’s movement towards the outsourced private cloud solution.  In order to mitigate risk and create smart scale, it is critical for funds to partner with a world-class provider who owns their own equipment, offers maximum security and provides full end-to-end service.


       VINCENT ANIELLO         Senior Director of Cloud              & Infrastructure

       VINCENT ANIELLO         Senior Director of Cloud              & Infrastructure

Vincent Aniello is the Senior Director of Cloud & Infrastructure at Gravitas and has more than 20 years of experience working at service providers delivering critical hosted solutions to clients.

Founded in 1996 as a technology consulting firm, Gravitas has been servicing the alternative investment industry as a trusted provider of IT services including infrastructure, cloud hosting and support.  Two decades later, Gravitas has evolved into a fully integrated, cloud-based front and middle office services platform exclusively for hedge funds and asset managers. 

The Gravitas Platform combines people, process and technology to funds achieve operational excellence and smart scale, while reducing risk.  Solutions enabled by The Gravitas Platform include Market Risk, Portfolio Accounting, Reconciliation, Compliance Reporting, Data Warehouse/ Security Master/ Reporting Tools/ Pricing, and Information Technology Services.

Gravitas is headquartered in New York with 275+ employees working out of its five worldwide locations in Chicago, Greenwich (Connecticut), Mumbai and Ahmedabad, and at various client sites.  The firm has cultivated a roster of 80+ client firms that manage over $1.15 trillion in AUM globally. 

Gravitas was most recently named "Best Middle Office Solution" in the HFM US Hedge Fund Services Awards, and "Best Outsourced Solution" in the 2015 HFM US Technology Awards. Past HFM US Hedge Fund Services Awards won by Gravitas include: “Most Innovative Technology Provider” (2014), “Best Outsourced Technology Infrastructure Provider” (2013) and “Best Overall Technology Firm” (2012).