Direct Custody & Clearing

We help sub-custodians understand their place in the competitive landscape. Our data helps clients keep resources and revenue aligned, attract and develop talent, engage employees, retain clients, and secure new business. Even more, we help clients understand how costs, output, and operational performance compare with competitors.

Challenges in the Current Landscape

According to the IMF, about $50 trillion is invested in foreign securities. Globally, net flows of portfolio investment in debt and equity securities alone routinely exceed $1 trillion a year. These valuable financial assets are held on behalf of investors in over 100 markets around the world by sub-custodian banks. The banks clear and settle the transactions by which they are bought and sold and in turn hold them in the local central securities depository (CSD).

In providing these services, custodians assume and create considerable risks, including:

  • Financial: Failure to deliver cash or securities, an inability to liquidate collateral, the bankruptcy of the custodian
  • Operational: Failure to settle a transaction, a missed corporate action, buy-ins
  • Legal: Pooled account structures, re-use of assets, an inability to enforce investor rights in the jurisdiction

Therefore, it is essential that they retain the financial strength to absorb a wide range of risks and invest in the best talent and technologies, while minimizing the costs of maintaining client service, including the costs of capital and liquidity.

Make Informed Talent and Business Decisions

We work with clients to provide strategic insights and up-to-date information enabling clients to:

  • Retain your best people, make strategic decisions about overall firm talent profile, and reinforce success
  • Gain access to client opinions and understand both why clients leave and stay
  • Keep pay competitive with in-depth market data and a total rewards outlook
  • Cut the right costs and invest in the right areas to stay competitive

Direct Custody Compensation, Engagement, and Business Intelligence

Our team provides surveys that help you make decisions about your employees, customers, and business strategies. Our surveys include:

  • Compensation in Direct Custody and Clearing
  • Direct Custody and Clearing Customer Satisfaction in Emerging Markets
  • Direct Custody and Clearing Customer Satisfaction in Major Markets
  • General Ledger and HR Systems Data Downloads
  • Staff Engagement in Direct Custody and Clearing

Ready to take part in our survey? Contact our team today for your customized questionnaire and overview.