Asian funds need to embrace fintech

Author: Karry Lai | Published: 1 Oct 2019

Uptake of fintech innovations has been slow in the funds industry because of a lack of trust and support from regulators, according to panellists at the Association of the Luxembourg Fund Industry’s Transfer Agency & Asset Servicing Forum Asia in Hong Kong SAR.

In order to further the adoption of fintech in the funds industry, a change of mindset is necessary. Fund managers are increasingly faced with the pressures of low cost funds, low margins and the rising cost of meeting regulatory demands. Without paying attention to fintech, traditional fund managers will lag behind and be overtaken by disruptors that can offer better services in providing a better customer experience, whether it be client onboarding, subscription or redemption.

"IT legacy systems and regulation remain barriers to fintech adoption in the funds industry," said Sébastien Chaker, executive director, Fondcenter Asia-Pacific at UBS Asset Management. "While fintech is talked about a...