Africa’s largest pension fund, the Government Employees Pension Fund (GEPF), has chosen Standard Bank to provide a full range of investor services product solutions for its more than ZAR1.5trn ($100bn) of assets under management.

The master custody and recordkeeping mandate with GEPF will take Standard Bank’s assets under custody, administration, and trusteeship to over R8-trillion, consolidating its position as the largest provider of custody and related services on the continent.

In terms of the mandate, Standard Bank will provide domestic, regional, and global custody services for over 60 markets. These services will be integrated with a master recordkeeping solution that includes investment accounting, compliance monitoring, performance, and risk reporting services for all GEPF listed and unlisted investment portfolios.

“We are delighted that GEPF has entrusted Standard Bank to act as the sole custodian and recordkeeping agent for the Fund’s entire investment portfolio. This appointment further strengthens our longstanding partnership with Africa’s largest institutional investor," said Standard Bank Group CEO Sim Tshabalala.

GEPF, whose assets are managed by the Public Investment Corporation (PIC), has more than 1.2 million active members from more than 325 government departments and in excess of 391 000 pensioners and beneficiaries.

Head of business development, Standard Bank Investor Services, Adam Bateman, said the bank has been providing custody services on GEPF’s fixed income portfolio since 1996, but this mandate would cover all of the Fund’s investments. He expected full implementation of the mandate to occur during the course of the year.

Advances in technology have enabled custodians to expand product solutions well beyond their traditional roles of settlement and safekeeping to reporting on and monitoring pension fund investment portfolios. According to Bateman this is consistent with increasing demands on corporate governance, as well as the increased accountability expected of fund trustees.

“Over the past decade Standard Bank has transformed its investor services business to become a regional player with a comprehensive set of enhanced reporting solutions that are designed to empower asset owners by mitigating risk and reducing the burdens of administration and compliance,” said Bateman.

“Standard Bank plans to continue building its geographical reach and expanding its investor services offering into the rest of Africa, supporting both domestic and international investors with multi-product solutions tailored to their individual requirements."