Calastone Australia passes Tipping Point
21 Mar 2013
With over 40% of the market now able to send or receive orders via Calastone, 150 market participants gathered in Sydney and Melbourne to hear from Industry leaders about how automation has benefitted boththeir businesses and client offerings.
Malcolm Gladwell describes the Tipping point as those magical moments when an idea, trend or social behavior crosses a threshold, tips and spreads like wildfire.
Our independent transaction network now carries over 1.3 million messages a month, representing a combined trading value of over AUD $20Bn so, suffice to say, we have passed that Tipping Point.
Almost half of the Australian market has access to Calastone to send and receive trade order messages, using any format they choose and utilising existing infrastructure.
The Tipping Point event provided an opportunity to tell both existing clients and those who don’t yet use Calastone that this is a solution that works and which will continue to gain momentum.
The participants that have been able to change from a manual environment where billions of dollars are being sent via fax machines, can now send an electronic instruction, receive acknowledgement the message has been received, and an electronic confirmation note usually the next day. This eliminates time, risk and resource and those that are using it are eager to ensure that all of their counterparties are available.
To provide background on why this is a key opportunity for platforms, Recep Peker from Investment Trends highlighted that research shows some of the key attributes that drive financial planners’ satisfaction with their platform were:
- Administrative accuracy
- Turnaround times on applications
- Turnaround times on redemptions
We asked respected industry participants to provide their experiences. When asked ‘Why Calastone’panelists responses included:
- "Because Calastone does not require a specific format: you are able to use existing infrastructure"
- "As a global translation network, the opportunity to increase automation both in the Australian & offshore is made possible & allows increased global distribution opportunities"
- "Easiest vendor implementation we have ever had"
- "Allows choice"
The event also marked the end of an era, with Joint Founder of Calastone Kevin Lee using the event as his farewell to Australia. In 2011 he moved to Australia from the UK to build the business and in reaching the Tipping Point, handed the reins over to new Managing Director, Shannon Sweeney. Shannon brings a wealth of experience with her and will lead Calastone into the next phase. She spoke of her excitement in joining the Calastone Global team and her intentions to work with the industry to broaden the breadth and depth of services across the market in Managed Funds, SuperStream and SMSF’s.
For a more in-depth review read our Tipping Point Event Summary
Our next post will tell you a bit more about Shannon, her experience, and her plans for automating the Australian Managed Funds back office.
We are grateful to have had the following respected Industry Leaders as part of our panel:
Sydney Facilitator: Mark Reilly, Chief Operating Officer, Ausbil Dexia Limited; Panel: Gil Orski, Chief Operating Officer, Aberdeen Asset Management; Robert Brown- HSBC Bank Australia Limited, Head of Client Management; Doug Bryden- Head of Operations Fidelity Investment Management Australia
L to R: Rob Brown, Gil Orski & Doug Bryden
Melbourne Facilitator: Dañelle Bereau, Senior Manager >Intermediary Services, Computershare Investor Services; Panel: Alistair Densley, General Manager – Operations, netwealth Investments Limited; Richard Linnegan, Executive Director, Goldman Sachs; Adam Donohue, Senior Manager Unit Registry, RBC Investor Services
L to R: Adam Donohue, Richard Linnegan, Al Densley