Fund administrators continued to leverage technology and digitalization to expand their capabilities in response to rising costs and challenges brought on by the pandemic.
Demand for product enhancements, as well as new products and solutions, from existing and new clients pushed asset service providers to explore new ways to navigate more dynamic and difficult market conditions in 2021.
Reducing costs as well as optimizing operational procedures and processes for both retail funds and alternatives have been the key for the more successful fund administrators in most markets covered by The Asset awards.
Client servicing has also become more crucial based on feedback from client calls and an in-house survey conducted by The Asset.
It is in this context that The Asset board of editors announces the winners of the Best Fund Administrator Awards as part of The Asset Triple A Sustainable Investing Awards for Institutional Investor, ETF, and Asset Servicing Providers 2022.
BEST FUND ADMINISTRATOR, RETAIL FUNDS
HSBC has made significant investments within its fund administration products during the awards period. The product enhancements have driven significant growth from new and existing clients including large regional insurers, public sector and asset manager names.
HSBC - Winner
HSBC supported two Chinese asset managers launching the MSCI A50 ETFs at the Hong Kong Exchange during the awards period. The bank was also actively engaged with ETF asset managers to set up new ETF umbrellas under the OFC (open-ended fund companies) structure.
BOCI-Prudential Trustee - Highly Commended
BOCI Prudential Trustee won the mandate as trustee, fund administrator, custodian, and registrar from a leading ETF provider, highlighting its growing capabilities as fund administrator for retail funds. It is also among the first batch of transfer agencies in Hong Kong to support order placement through the Financial Data Exchange Platform (FDEP) provided by Shenzhen Securities Communication.
HSBC ran an operations optimization project during the awards period that brought about efficiencies in the fund administration process. The optimization was able to bolster capacity to the tune of 15% by reorganizing the processes, identifying waste or automating the manual processes.
HSBC – Winner
HSBC was mandated to administer 22 new mutual funds, and several unit-linked and pension funds during the awards period by various investment managers and insurance companies. The mandates were given to HSBC due to its reputation of providing excellent services in the market.
DBS – Highly Commended
DBS scored highly in a survey of fund administrator clients conducted by The Asset, which measured the level of client satisfaction with regard to asset service providers in the Indonesian market.
Deutsche Bank remains the dominant fund administrator in Malaysia, providing fund services to 19 fund managers in the collective investment scheme market, with a market share of approximately 41% in private retirement schemes, 36% in ETFs, 20% in wholesale funds, and 12% in unit trust funds during the awards period.
HSBC experienced sustained growth in its fund administration business as evidenced by a 7% increase in the number of funds and a 6% increase in assets under administration despite the continuing pandemic. It won a major fund administration and custody mandate from one of the largest asset managers in the country. The first fund went live in the first quarter of 2022.
HSBC’s longstanding, on-the-ground expertise in this market has helped it win new mandates from existing and new clients launching new onshore and offshore fund regimes and structures.
HSBC has further expanded its local team in Saudi Arabia to meet specific needs of clients with increased focus on client experience and client centricity. The bank capitalized on its global fund administration expertise to bring thought leadership, operational efficiency, and new products to clients.
HSBC remains the largest fund administrator in Singapore with a 60% market share in local authorized unit trusts and 46% market share in local real estate investment trusts. It also provides custody and fund administration to 11 of the 18 (61%) ETFs manufactured and listed in Singapore and continues to win new mandates, including a China-focused ETF from a large local fund manager.
Deutsche Bank remains the dominant fund administrator in Sri Lanka, posting an increase in assets under administration owing to the exceptional performance of the equities market, which saw a growth of over 80% for the year – making it one of the best performing stock markets in 2021.
In 2021 HSBC supported more than 20 new fund launches with more than US$2.1 billion in assets despite the Covid-related disruptions. It remains one of the leading fund administrator for retail funds in Taiwan.
HSBC successfully launched fund administration services for a top three asset management company and other leading asset managers in Thailand. HSBC provides middle office, fund administration, and collateral management services to local clients.
Standard Chartered remains the leading fund administrator in Vietnam based on assets under administration, particularly in the insurance segment. Its extensive experience servicing large foreign insurance names coupled with its deep knowledge of market infrastructure has given it the ability to provide comprehensive and end-to-end cash and securities services solutions to clients, which in turned helped the bank win new mandates.
BEST FUND ADMINISTRATOR, ALTERNATIVES
HSBC continues to be the leader in the administration of hedge funds, private equity, private debt capital, real estate, and infrastructure funds. It administers over 150 alternative funds, posting a 43% increase in assets under administration during the awards period.
DBS remains the dominant fund administrator for alternatives in Singapore, winning key mandates particularly in the variable capital company (VCC) space. The bank has also been steadily growing its market share in the funds segment, and won the mandate for a US$3 billion portfolio with over 50 funds, away from a competitor.
Best Fund Administrator, Private Equity/Venture Capital
Linnovate continues to expand its fund administration capabilities, with its marketing and sales team being able to travel to Shanghai and Beijing to meet existing and prospective clients, and sign new deals. It has supported its clients in tapping opportunities in the market, including raising new funds and taking advantage of depressed asset prices at the peak of the pandemic.
Linnovate continues to be at the forefront of fund administration for private equity and venture capital assets, winning new mandates and growing its assets under administration. It partnered with the Singapore Fintech Association to further promote alternatives fund services within the community and reinforce Singapore’s position in the global fintech ecosystem.
For the full list of winners please click here and scroll down