Financial Institutions

A perfect storm? New frontiers for custodians and asset managers

Aymen Saleh Astrid Woloszczuk Brent Beardsley Dean Frankle Deepak Goyal Sumitra Karthikeyan Sukand Ramachandran June Aitken

The custody business is being squeezed by new regulations, low interest rates and sluggish performance from asset manager clients. An even greater threat is automation, which is turning custody into a technology-based business, with high fixed costs and near-zero variable costs. Yet the advance of automation also provides custodians with opportunities to extend their offering.