Some custodians are conflicted whether they wait for the EU’s taxonomy to become crystallised or pre-empt it entirely by rolling out their own ESG reporting solutions.
Euroclear stated the new solution will make tri-party a portable service offering, agnostic of the settlement and custody location.
A UBS survey showed 87% of participants from banks with assets of $250 billion and above believe technology spending will increase annually over the next three years.
Nine global custodians are in various stages of testing with the MTU, and GlobalCollateral is in the process of engaging with around 40 other regional custodians.
The ASIFMA paper suggested allowing investment managers and their lending agents, often global custodians, to carry out securities lending in the markets.
A number of custodians and fund administrators have targeted the front-office as a new growth opportunity and expand from its traditional back-office services model.
Custodians could deliver superior value focusing on identifying operational pain-points for customers and created solutions off the back of it, according to Deutsche Bank.
Certain trade data captured by artificial intelligence could be at risk of being hacked by cyber criminals, according to a leading cyber-security expert.