Raj Iyer on Transforming Private Markets and the Role of Data in Financial Innovation

Raj Iyer, Chief Product Officer at Templum – a financial technology company developing tools and platforms for private markets and alternatives — openly discussed the significance of private markets, technology, and data in financial services. With his extensive experience at firms like BNY Mellon and Bloomberg, Iyer shared insights into the challenges of data in finance and the transformative potential of private market innovation.

Reflecting on his career path, Iyer recounted his transition from studying physics to building a career in finance. “There was no strategy,” he admitted. “At some point, I realized I wasn’t cut out for physics. Once you start getting out of the classroom and working in a field, you figure out whether it’s for you or not.” He emphasized the importance of adaptability and curiosity in navigating career shifts. “People hire people, not just skills,” he said. “If you show interest and passion for a field, it stands out. For me, it was spending evenings in the office learning from colleagues—those were the most valuable moments.”

As Chief Product Officer at Templum, Iyer is focused on revolutionizing private market investments, making them more accessible and liquid. He explained the challenges of the current landscape: “Private investments are highly bilateral, often reliant on paper contracts and manual processes. There’s no easy settlement mechanism like in public markets.”

Templum’s platform aims to change that. “We’re building a workflow that simplifies private investments,” Iyer explained. “Investors can use tools like DocuSign to complete transactions, and the platform handles events like dividend payments, making the experience feel like investing in public markets.” Despite its potential, Iyer acknowledged the nascent stage of private market infrastructure. “It will take time to shake out standards and regulations. Even regulators are figuring out how to handle these newer types of investments.”

Iyer also emphasized the critical role — and shortcomings — of data and legacy systems in financial services. “The basic problem is that data in this industry is crap,” he stated bluntly. “It’s poorly organized, and sometimes the data itself is just bad.” He also highlighted the inefficiencies caused by legacy systems. “Big banks have siloed systems that don’t talk to each other. Signing up for a bank account and applying for a mortgage often feels like dealing with two entirely separate organizations.”

Addressing these inefficiencies is critical for both operational efficiency and innovation. “Financial institutions are undergoing a multi-decade transformation to become more efficient,” Iyer said. “Data standardization and better engineering are at the heart of this effort.”

Iyer discussed the slow adoption of artificial intelligence in financial markets, citing poor data quality and regulatory constraints as major barriers. “AI relies on predictive models, but financial institutions can’t tolerate mistakes,” he explained. “You have to prove to regulators that your model won’t fail, and it’s hard to work backwards when a false negative occurs.” Despite these challenges, Iyer expressed optimism about AI’s potential. “It will come, for sure. The industry is just figuring out how to use it in a way that meets regulatory standards.”

On the topic of risk, Iyer encouraged taking calculated leaps, especially early in one’s career. “Take risks when you’re young,” he advised. “While you’re comfortable living with roommates or fewer obligations, it’s easier to pursue opportunities with higher uncertainty.” He also touched on the importance of culture in startups, sharing an anecdote about a former employee who left because the company’s remote-first setup didn’t align with her preference for in-office interactions. “Culture is personal,” Iyer noted. “Some people thrive in a startup’s fast-paced, no-frills environment. Others need the water-cooler experience. It’s about finding what works for each individual.”

For those aspiring to enter finance or entrepreneurship, Iyer emphasized the value of persistence and learning. “If you’re entering a new field, talk to people and knock on doors,” he said. “The most impressive candidates aren’t necessarily the ones with the best resumes — they’re the ones who show genuine curiosity and passion.” He encouraged students to leverage their unique experiences. “Whether it’s joining an entrepreneur club or starting your own project, find ways to stand out. Passion and initiative speak louder than credentials.”

Iyer concluded with a vision of a tech-enabled financial industry. “Over the next 15 years, financial services will become much more tech-driven. It’s a secular trend, but it will take time,” he said. As for the current challenges, Iyer is optimistic. “Private markets, data, AI — these are all areas with immense potential. It’s just about solving the inefficiencies and figuring out how to move forward.”