SimCorp, an investment management solutions provider to the global financial services industry, has entered the South African market with newly-appointed managing director, Brian Anderson.
Backed by its supervisory board, SimCorp’s entry into South Africa will focus on delivering its modular front-to-back solutions and managed services to local asset managers, state pension funds, and sovereign wealth funds. The move comes as many buy-side institutions in the market are seeking mature solutions to achieve cost efficient, multi-asset investment operations.
The South African buy-side industry is undergoing a transitional phase, as it looks to address a legacy of best of breed solutions and outdated systems. In order to secure future growth and fulfil long-term business outcomes, many firms are now looking to achieve scale and automation in their investment operations. This drive has more recently been accelerated by the USD26 billion fiscal stimulus package, the largest in the country’s history, announced by South African President, Cyril Ramaphosa, in response to the economic challenge posed by Covid-19.
Local proximity has been a cornerstone in SimCorp’s global expansion over the years, and the newly established presence in South Africa continues with this approach, supporting expected demand with strengthened local engagement and expertise. Led by Anderson, its new managing director, SimCorp’s on the ground operations will further benefit from the scale delivered by its units across Europe and the Middle East, as it engages with a number of identified opportunities in South Africa’s addressable market. This includes direct dialogue with larger asset managers and asset owners, as well as establishing local partnerships, via SimCorp’s successful ‘strategic asset servicing partnerships’ model, to serve the growing wealth management industry.
With a substantial background in the investment management market, and expertise in financial software and accounting, spanning over 30 years, Anderson will play a vital role in SimCorp’s South African journey. Both in his last role as managing director at FIS in Africa, and in several senior positions held at SunGard, Anderson has led many operational change management projects, with a firm understanding of business strategy and growth acceleration. He will report into Hans Otto Engkilde, senior vice president, and managing director, UK, Northern Europe and Middle East.
Engkilde comments: “We are pleased to announce our move into South Africa and the arrival of Brian Anderson. The entry into South Africa comes at an important time in the country’s history, where there is a growing desire from local firms, for consolidated solutions that can truly support asset growth. We believe SimCorp’s modular front-to-back design and multi-asset coverage can deliver the operational efficiency and flexibility needed, to achieve that growth. At the same time, it enables SimCorp to broaden its global reach and will play a significant role in furthering our strategic growth ambition.”
Anderson adds: “It is with great pleasure that I join SimCorp and lead its South African operations. The value of SimCorp’s consolidated solutions and managed services offer the South African market great growth potential and at a critical time, where outdated, legacy and point solutions are no longer fit for purpose. Having been immersed in the financial software industry locally for many years, I look forward to leveraging my broad knowledge and experience on the critical investment challenges asset owners and managers face today, and engaging with firms to demonstrate how these obstacles can be overcome with successful operational change.”
