Regulatory Predictions for Asset Servicing in 2025

This report outlines regulatory predictions for the asset servicing industry as it approaches 2025, focusing on custody, data services, and fund services. It discusses the anticipated regulatory shifts, emphasizing the importance of central securities depositories (CSDs) in maintaining financial stability amidst geopolitical tensions. The report highlights the transition to T+1 settlement cycles in the UK and EU, underscoring the need for firms to adopt AI-driven automation tools to enhance efficiency and compliance. Data management is identified as a critical area for improvement, with firms urged to prioritize data quality and lineage to meet regulatory requirements. The report also addresses the evolving landscape of fund services, particularly the potential approval of mutual fund managers to launch ETF share classes, which could significantly impact the market. Overall, the document presents a comprehensive view of the regulatory landscape and its implications for the asset servicing sector in the coming year.