Guardians of growth: Nedbank's custody services
Financial institutions around the world have become intricately woven into the fabric of everyday life, and amongst these, Nedbank Namibia stands tall. Particularly notable is their safe custody services, a fundamental component of the bank’s offering, bridging the past and the future in their approach to asset protection and growth.At the helm of this business unit is Christine Carstens, the manager of investor services at Nedbank Namibia. Her professional journey has led her to embrace the responsibility of safeguarding financial assets, helping to minimise the risks of theft or loss, and ultimately securing the financial future for numerous organisations and individuals.
Carstens shared that their clientele consists mainly of investment advisors and financial institutions, including asset managers, who are compelled by the regulator to work through a custodian such as Nedbank for assets they manage on behalf of clients.
“We hold these assets in physical or electronic form, and we also manage financial accounts, handle settlements and deal with compliance and tax issues,” she explained.
Comprehensive offering
The offering is comprehensive, extending beyond safekeeping. Nedbank custody services consist of two primary services, namely: Safe custodial services and trustee services. These offerings include a variety of transactional and technologically advanced solutions styled to ensure efficiency and competitive pricing for both payments and the receipt of funds.
Significantly, Nedbank’s custody services aren't limited to institutional clients such as pension funds and asset management companies. They also cater to private wealth clients and organisations interested in acquiring shares or bonds.
They facilitate clients’ access to the financial ecosystem which enables efficient capital deployment. Offering these wider services at competitive rates, Nedbank expands its reach and impact on the financial market.
On the journey towards digitalisation, Carstens provided insights concerning future-focused investment solutions.
“With the implementation of central securities depository in the Namibian market, we foresee two evident benefits - the electronic settlement of trades, which currently is a manual process due to the physical market, and a reduction in the settlement cycle for local equity trades to T3 from the current T5 cycle,” she said.
Clear shift
This indicates a clear shift towards greater efficiency and speed in the transaction process, which - in turn - allows quicker reinvestment of assets and decreases counterparty risk.
"Custody is one of the key stakeholders for corporate and investment banking clients and a major contributor toward the profits of the bank," Carstens added.
Reiterating the department’s significant role within the larger banking framework, she said looking forward, Nedbank's custody service will continue to innovate and evolve, stay abreast of market trends and offer client-centric services.
This forward-thinking approach, combined with a steadfast commitment to maintaining high service standards, is what positions Nedbank as the preferred choice in the financial services market.
Through their service offerings, Nedbank's custody services illustrate an enduring commitment to financial stability and future-focused investment solutions. They ensure that their clients from asset management firms to private wealth clients can continue to trust in their ability to safeguard their assets both today and in the future when it comes to financial safekeeping.