Copying and distributing are prohibited without permission of the publisher
Asset managers adapt to Esma guidelines
08 May 2014
Recent Esma guidelines on securities lending revenue have forced some change in asset management, according to participants of the Global Investor/ISF UK beneficial owners roundtable
Alastair O'Dell, editor, Global Investor/ISF (chair) John
Arnesen, global head of agency lending, BNP Paribas Securities
Services Anthony Charlwood, investment officer, Pensions Trust
Matthew Chessum, securities lending and repo, Aberdeen Asset
Management Simon Lee, managing director, eSecLending David
lewis, senior vice-president, SunGard's Astec AnalyticsO'Dell
(chair): Esma set out guidelines that would reduce asset
managers' revenue from securities lending in favour of
investors. What solutions are asset managers adopting?
Matthew Chessum: We do not take a fee or share in the revenue
from securities lending. But that is not standard in the market
- my understanding is other asset managers do. We have made a
business decision to return all revenues to the fund.
In my personal opinion, it depends how comfortable you are
justifying the fees - that is the crux of the matter. You have
to be able to justify the amount of money you are taking for
the service that you provide....
Access to this content is denied because you are not logged in. Please login to view this content
Subscribers have unlimited access to all current and archive content. Start your
subscription today - click on the button below.
Taking a free trial will give you access to the current issue for two weeks (excluding
some surveys and articles). Start your free trial today.