The leading investor services banks (State Street, BNY Mellon, JP Morgan, Citibank and so on) seem to be bifurcating into two distinct types: the Trust Banks (BNY Mellon, Northern Trust and State Street) and the universal banks (JP Morgan, Citibank, HSBC, BNP Paribas). At the same time we are seeing several banks re-shape their offerings and/or exit from certain services. Why is this?
It probably all boils down to two connected factors – profitability and capital requirements.
Social media has now grown to be a fundamental part of the fabric of our lives: the way we communicate, consume, engage in politics, the environment and work are just a few of the ways we are impacted. Yet UK wealth managers in general are slow to engage in any meaningful way.
The question of fair value pricing and fund suspension was particularly topical in the aftermath of the EU Referendum in the context of commercial property funds. Many had Fair Value Pricing (FVP) in place and some big funds suspended trading. Suspension of course, is a general power open to the Operator of any mutual fund regardless of the asset class.