Analysis > Interviews
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AGF speaks with Llewellyn Ford (pictured), Head: Investor Services, South Africa; Adam Bateman (AB), Head: Business Development, Investor Services; and Hari Chaitanya (HC) Head: Investor Services Product Management, Standard Bank, about African asset servicing industry, tech innovation and Standard Bank’s services
AGF speaks with Llewellyn Ford (pictured), Head: Investor Services, South Africa; Adam Bateman (AB), Head: Business Development, Investor Services; and Hari Chaitanya (HC) Head: Investor Services Product Management, Standard Bank, about African asset servicing industry, tech innovation and Standard Bank’s services
AGF: How would you describe the current state of the African asset servicing industry?
LF, AB, HC: A frican markets have not been immune to the challenges brought upon by COVID-19 and although markets have recovered, there has been a severe impact on businesses and as result the savings industry has suffered too. The pandemic has also sparked positive change in some areas and accelerated the pace of innovation.
Financial market infrastructures in Africa responded quickly to the COVID-19 crisis and proved their resilience in the face of record trading volumes, with minimal disruptions. This was thanks to their robust contingency planning and willingness to embrace and accelerate digitisation, including in areas such as video conferencing and proxy voting. Angola, for instance, is introducing electronic trading for foreign exchange, while Kenya and Tanzania have launched mobile trading platforms.
The crisis exposed inherent risks in manual processes, prompting investments into new digital products and services. This will ensure that financial institutions remain competitive. A number of local financial market infrastructures are trialling technologies such as application programming interfaces (APIs) and distributed ledger technology (DLT), further reinforcing Africa’s reputation as a fertile ground for innovation. The lack of legacy infrastructure also puts Africa in a strong position to leapfrog other markets.
AGF: You have recently renewed the mandate for investor services product and service solutions with South Africa’s GEPF. What does it mean for Standard Bank?
LF, AB, HC: With assets in excess of $150bn, the Government Employees Pension Fund (GEPF) is the largest pension fund in Africa. We are delighted to have retained this important mandate and further cement our long-standing relationship with GEPF. Under the new agreement Standard Bank will continue to provide a fully integrated master custody solution that includes investment accounting, compliance monitoring and performance and risk reporting. Standard Bank has acted as custodian to GEPF since the fund’s […]