Corporate actions: a critical need for standardisation for asset managers

Written by Gary Bond, CEO of TURN

The financial services industry is known for its reliance on efficiency, consistency and regulatory adherence. Yet, one area that continues to generate frustration and inefficiencies is the management of corporate actions. Whether it’s mergers, acquisitions, stock splits or fund reconstructions, corporate actions are crucial to the health of the financial system but have long been plagued by errors, delays and operational headaches. These issues arise because different stakeholders, including asset managers, custodians and platforms, each interpret and manage data in their own way. This lack of consistency and communication has led to significant inefficiencies, increased operational risks and costly regulatory fines. Despite the importance of these actions, the financial industry has not yet embraced a unified, standardised approach.

The top five countries by assets under management

Source: TeamBlockchain/Allianz Wealth report

The challenge of corporate actions

Corporate actions are any …