CACEIS NEWS 38 EN

4 caceis news - No. 38 - June 2014

CACEIS’s Brussels office

CACEIS supports its clients’ development in the growing Belgian market CACEIS clients in

10.3% growth in assets for funds distributed in Belgium At the end of December €117.53bn, an increase of €10.98bn or 10.3% during the year. At the end of 2013, 1.4 million people in Belgium had saved a record €14.33bn via savings and pension funds. Belgium has the highest rate of mutual fund ownership per head in continental Europe at over €11,000 per person, and the highest investment rate, with over 14% of household savings held in the form of funds. Assets under discretionary management represented a total of €84.08bn, of which €70.80bn or 84.2% is managed on behalf of institutional investors. * CACEIS in Belgium is a member of the Belgian Asset Managers Associa- tion (BEAMA). Source: BEAMA 2013, assets of funds distributed publicly in Belgium reached

LEVERAGE EFFECT ON MARKET OPPORTUNITIES Since July 2013, CACEIS has offered a new depositary bank service in Belgium at a key time for asset managers. All current non-UCITS fund asset managers, which will become AIFs man- aged by AIFMs, need to send an accreditation request to the FSMA - Belgium’s financial markets supervisor - before 22 July 2014. AIFMs will have to meet the rules of the directive and choose a duly authorised deposi-

RISK CONTROL AND RESPONDING TO NEWMARKET REQUIREMENTS CACEIS allows cli- ents to meet EMIR demands relating to the measurement, mo- nitoring and reduc- tion of operating and counterparty risk. For bilateral OTC deriva- tive contracts, CACEIS offers modular services including valuation, portfolio reconcilia-

Belgium: economic growth above the average for the Eurozone: InMarch 2014, ratings agency Standard &Poor’s (S&P) revised its long-term rating (AA) on Belgium from “negative” to “stable”. The Belgian economy has held up fairly well against the financial crisis and for the period from 2014-17 is expected to achieve economic growth above the average for the eurozone. Belgium’s benchmark index, the Bel 20, is above its level of August 2008. Interest rates on public debt remain low.

Belgium benefit from the local knowledge of a long-standing operator in the Belgian financial market coupled with the expertise of one of the world market leaders in asset servicing. C ACEIS, which has been present in Brussels since 1997, offers a comprehen- sive range of services for clients active in Belgium, including de- positary, custody and fund admin- istration. This market presents considerable potential for develop- ment. During a period of extensive regu- latory changes - such as AIFMD, UCITS IV & V, MiFID, MiFIR di- rectives, EMIR - and changes in in- frastructures - such as T2S, CSDR - asset managers can rely on a ser- vice provider combining local ex- pertise and the resources of a large international group. CACEIS’ proximity to the Belgian market and its value-added services allow clients to benefit from both local opportunities for growth and those offered by the AIFM European passport, as well as cross-border fund structures under UCITS IV.

tion, initial and variable margin calculation and collateral management. Clients can delegate to CACEIS the report- ing of listed and OTC derivatives to trade repositories, as is mandatory as of 12 February 2014. CACEIS in Belgium offers transfer agent services for local and foreign funds, with the ability to offer com- munication and automated process- ing services ensuring rapid execu- tion and reporting. The bank also provides paying agent services. These various services, which are not exhaustive, reflect CACEIS’ ability to adapt to the new regula- tory framework and offer its clients innovative services. They benefit from the local market knowledge of teams in Brussels to develop their operations in Belgium and the comprehensive offering of an international market leader in asset servicing

tary. As Europe’s leading depositary and fund administrator of European alternative investment funds (AIFs), CACEIS offers a combination of outsourcing services for middle and back-office activities, helping to im- prove operating efficiency and risk control for AIFMs. The AIFMD di- rective requires AIFMs to provide the depositary with all of the infor- mation needed to verify the compli- ance of flows recorded in the AIFs cash accounts they manage on a dai- ly basis. This increases the interest for AIFMs in outsourcing adminis- trative and accounting tasks relating to the cash monitoring of AIFs to a single service provider offering cus- todian and fund administration ser- vices. CACEIS also offers AIFMs regulatory reporting services to al-

low its clients to comply with their new obligations. The bank can also contribute to its clients’ commercial development by offering structuring and support services for local and cross-border fund distribution. For example, CACEIS helps asset managers to set up cross-border master-feeder funds under UCITS IV in order to reach end investors all over Europe. This structure allows for a track re- cord to be maintained in funds under Belgian law and to associate funds with a Luxembourg-based fund. In this case, the fund structuring depart- ment helps clients with prospectuses setting, fund notification procedures in Europe and preparing KIIDs in the original language and for each coun- try in which the fund is distributed.

Key figures as at 31/12/2013

France COLAS, Head of Regional Coverage, Benelux-Nordic countries-Russia, CACEIS

Olivier STORME, Global Head Belgium & The Netherlands, CACEIS

Emmanuel ROUSSEAU, Branch Manager, CACEIS

No. 1 fund administrator for third parties in Belgium 26,961 NAV calculations in 2013 €12.6bn in assets under management nationalities (Belgian, Luxembourg, Dutch, French, UK, Irish, Norwegian, Maltese and Caribbean) ISO 9001 and ISAE 3402 Type II certification Financial services for more than 790 subfunds of different

Clients serviced by CACEIS's local offices not only benefit from the support of staff with a clear understanding of local market

CACEIS’ growth prospects in Belgium are positive insofar as we are now able to combine our long- standing fund

By bringing our depositary banking and custody expertise to the Belgian

market, and combining it with our pre-

issues, but also have access to the full servicing offer of one of the world's leading asset servicing groups, which is constantly enhanced to suit client requirements and regulatory developments. It is part of our strategy to provide market-leading solutions in order that our clients leverage AIFM and UCITS passport opportunities in Europe.

administration and transfer agent services with new depositary and custody services for UCITS, as well as for funds that will be covered by the AIFM directive. Our clients recognise the appeal of our operating model, which is based on specialist platforms and local operating teams working close to clients and who understand their needs.

existing fund administration offering, we are providing clients with a full service offering in all markets where they operate. Asset safety is a key consideration for our clients as well as their end-investors. CACEIS in Belgiumplays an important role in ensuring the highest level of security for those assets and compliance with the regulations so our clients can focus on their asset management decisions.