Global Custodian Fall 2018 | Page 98

[ S U R V E Y | A G E N T B A N K S I N M A J O R M A R K E T S ] Switzerland Credit Suisse This is an excellent performance, albeit one created by a small number of clients. Valuing the counterparty is axiomatic for cli- ents of Swiss universal banks, and nobody thinks Credit Suisse will fail to make their clients whole if assets go missing. The assessment of both client service and relationship management is generous to the point at which the bank is seen as a marketing tool by its clients. Across account management, asset servic- ing, liquidity and risk management, compliance and even cash management, FX and pricing, the only blips are either shared by every other bank in the survey (such as poor corporate actions notifications) or venial (such as resistance to passing on infra- structural cost savings). SIX A new questionnaire makes it hard for SIX to maintain the upward momentum of the last two years, but the outcome is nevertheless both impressive and consistent. Only in relation- ship management is there a hint of something less than excel- lent, but the average owes less to individuals or relationships than the inability of a financial market infrastructure to bespoke its services. “Some of the pending items last too long, although we understand this might be due to some factors within other departments of SIX, or external ones,” as a client puts it. Comments on the SIX people are flattering anyway. “Excellent responding times,” says one client. “Very pro-active.” A second avers that “our long-lasting business relationship is built around trust and a high level of quality communication.” BNP Paribas Securities Services BNP Paribas has a substantial operation in Zurich, providing global custody to Swiss institutions and fund administration services to foreign fund managers distributing in Switzerland, as well as supporting trades executed on the Swiss Exchange and cleared via X-clear. The bank enjoyed outstanding results here last year. Their 2018 equivalents compare well on the human side but, in addition to raising survey-wide issues in banking, respondents are looking for more, particularly across pricing and asset servicing and even aspects of settlement. UBS A strong turnout by clients has not translated into persuasive scores. Confidence in UBS as a counterparty is unquestioned. Clients think the bank understands their sensitivity to asset safe- ty and award UBS plaudits for helping them achieve the optimal balance between segregated and omnibus accounts. The settle- ment score is solid, but those for asset-servicing are not. “The back office can still improve in delivering pro-active service,” writes a client. “We often have to send a reminder in ongoing cases.” A bank with a high profile in exploring the potential of blockchain, APIs and AI will be disappointed not to have regis- tered its investment in innovation with more clients. The RMs, which UBS trains and incentivises to build strong relationships with clients, are doing better than the average suggests. “They are trying to do their best to service us” is the Delphic verdict of one client. WEIGHTED AVERAGE SCORES Market Average Global Average 4.36 5.08 5.20 Credit Suisse SIX BNP Paribas UBS Market share (% of responses) 15% 12% 32% 41% Relationship management 5.92 5.02 6.00 Client service 5.61 5.46 5.70 4.82 5.15 5.40 Account management 5.81 5.61 5.94 4.58 5.30 5.44 Asset safety 6.20 6.32 6.19 5.20 5.67 5.68 Risk management 5.91 6.09 4.91 4.59 5.34 5.46 Liquidity management 5.76 6.25 4.87 4.05 4.82 4.89 Regulation and compliance 6.07 5.80 5.37 5.67 5.68 5.64 Innovation 5.45 6.44 5.60 3.53 4.83 5.18 Asset servicing 5.58 5.89 4.67 3.99 4.77 5.09 Pricing 5.27 5.61 4.75 3.70 4.58 4.82 Technology 5.49 6.31 5.19 4.46 4.99 5.28 Cash management and FX 5.33 6.22 3.75 3.93 4.32 4.25 Total 5.71 5.78 5.22 4.42 5.07 5.24 98 Global Custodian Fall 2018