Transcript
Speaker: Welcome to HSBC Global Viewpoint, the podcast series that brings together business leaders and industry experts to explore the latest global insights, trends, and opportunities.
Speaker: Make sure you're subscribed to stay up to date with new episodes.
Speaker: Thanks for listening.
Speaker: And now onto today's show.
Speaker: Welcome to TMI's TreasuryCast and HSBC's Cyboss Spotlight.
Speaker: I'm Eleanor Hill, Editor of TMI, and I'm delighted to be working with HSBC to bring you an in-depth look at the events from this year's Cyboss.
Speaker: Throughout this series, we will explore the critical topics impacting the transaction banking landscape, specifically looking at sustainability, digitization, and innovation.
Speaker: We'll examine the opportunities and challenges disrupting the areas of payments, trade,
Speaker: custody, and of course, traditional business models.
Speaker: So joining me today in the virtual podcast studio, we have three experts from HSBC's markets and security services business, namely Alexis Vasquez-Meissner, who's global co-head platform sales, Suman Badresha, global head of product delivery for direct custody and clearing, and Stephen Mann, who is chief information officer
Speaker: So welcome to the three of you.
Speaker: It's really great to have you here and to have the opportunity to talk about the latest trends in the custody arena.
Speaker: as well as, of course, HSBC's innovative market space platform.
Speaker: But we've got loads to talk about.
Speaker: We've got loads to share with the audience.
Speaker: But it'd be great if we could kick off maybe with a bit of a bigger picture look at some of the challenges in the custody space today.
Speaker: What are the headaches?
Speaker: What are those pain points?
Speaker: And what's fueling these issues?
Speaker: Steve, would you mind kicking us off on that one?
Speaker: From my perspective as the CIO for Security Services, I see three areas, if I could break it down like that.
Speaker: it would be legacy, disruption, and expectations.
Speaker: So from a legacy perspective, we got some old technology, different ways of working.
Speaker: And some of these are just well ingrained into the ecosystem of custody services throughout our network and others, I'm sure.
Speaker: Then we have on the flip side, we have the disruptive aspect of it.
Speaker: Newer technologies, some of them are overhyped, some of them are not, but we don't know.
Speaker: The problem with this is that
Speaker: There's a lot of people that think we can leapfrog some of the legacy bits with just putting in the newer technologies.
Speaker: And that leads on to our expectation management, you know, from our clients, from our stakeholders, from our teams.
Speaker: It's really difficult to kind of bridge all these aspects of wanting things to be super automated.
Speaker: Super efficient, cost constraints, you know, compression.
Speaker: So I would kind of put those three things at the top of my list and the top of my head.
Speaker: Yeah, and I'm sure that will resonate very much with the audience.
Speaker: And like you say, there is no silver bullet, unfortunately, but there are new technologies coming through and they are coming online.
Speaker: So it's exciting stuff coming online.
Speaker: Coming in the future, Alexis, anything you'd add to that around the big picture challenges?
Speaker: Yeah, probably just complimenting what Steve has said, because what we see on the front line is that, and this is not probably a new news story to anyone, but the world is moving at an incredible velocity.
Speaker: And the same things that we have consistently presented, that have consistently presented both challenges and opportunities over the last couple of decades remain ahead of the custody space.
Speaker: There, I would refer to adaption to an ever-changing regulatory landscape, the value and the importance of digital and data solutions to support efficiency, transparency, and client experience, as Steve has just said, the modernization and transformation of our legacy operating systems to deliver scale, stability, and resilience, the rise of new technologies and instruments like digital assets, and the never-ending debate of whether FinTechs are friends or foes.
Speaker: So, so for us at HSBC, we're contextualizing all these trends within the aftermath of the pandemic, and also the current global geopolitical and economic environments to determine how these industry issues are tackled in an uncertain world, and one that's influencing everything from where and how we work to the way that we communicate with one another.
Speaker: Yeah, yeah, absolutely.
Speaker: Alexis, I think you managed to tick every single hot topic there.
Speaker: You did an amazing job of just summarizing that very succinctly for everyone.
Speaker: So thank you for that.
Speaker: I mentioned at the start of the podcast that we will talk about market space, so HSBC's platform, but
Speaker: Just before we delve into that, it would be good to understand a little bit about the bank's overarching vision for the future of custody and maybe the drivers behind it and where your platform strategy fits within that.
Speaker: So Suman, let's bring you in here and get your thoughts.
Speaker: Yeah, thanks, Eleanor.
Speaker: And I'll kick off and then I'll ask Steve maybe to step in with these thoughts around the platform strategy as well.
Speaker: So if we start with where our custody business is, you know, it's built on the core strength of our local market presence and the expertise that we have on the local practices, the laws and the regulations, particularly across Asia and the Middle East.
Speaker: And, you know, within that, we work very closely with local authorities in these markets to advocate for improvements, changes that generally benefit for overall market efficiency.
Speaker: I think in terms of our vision in a nutshell, it's to help digitally transform the custody business to provide clients with a much more improved client experience across the network.
Speaker: That's particularly important given the context Steve and Alexis just talked about around the disruption that we face through various different challenges, modernizing legacy technology, the demand for digital solutions, and then moves into sort of new asset classes in terms of digital asset capability.
Speaker: So in terms of our vision, we kind of boiled it down into four key pillars that support our vision of digitization.
Speaker: So firstly, it is the digital pillar, which is looking to digitize and automate the processes that we've done manually or inefficiently over the years over things like email.
Speaker: So processes like account opening, FX validation, trade matching, many of these have been done manually historically and need to be automated and digitized in order to create that improved workflow and improved client experience.
Speaker: So that's the first point.
Speaker: The second point is data.
Speaker: Data is the blood that flows through the veins of our digital transformation.
Speaker: And Steve and his team have built a component called Unity, which has been driving our data strategy.
Speaker: And what that's done is we were active in 30 markets for local custody.
Speaker: And it's taken data across those markets and aggregate it together, normalized it so it looks and feels the same.
Speaker: Once we have that, we're able to do two things.
Speaker: One is provide that data consistently to our clients.
Speaker: The second thing is develop consistent solutions just once and roll it out across the range of markets that we support.
Speaker: So again, that plays the consistent client experience part.
Speaker: And then next up, we have being connected.
Speaker: And being connected means two parts, really, being connected into the market.
Speaker: And as we just touched on, we have the local market presence foundation that helps us enable that.
Speaker: So market connectivity and having real-time access to data from the CSDs is incredibly important for us.
Speaker: But then also being connected to our clients and giving our clients a choice on how they connect to our services.
Speaker: So that could be through things like APIs, through chatbots, or even through portals where clients don't have the appetite to integrate to APIs, for example.
Speaker: So that's a key part as well.
Speaker: And then last but not least, I'm going to stress the point on consistency.
Speaker: I think...
Speaker: you know, if we strive to have a consistent experience across all of our markets, regardless of the different channels you may want to use to access our services, that's a real key pillar that we aim to achieve across everything we do is to make sure clients can operate with us consistently, both from a client service perspective and from a technology perspective.
Speaker: Steve, do you want to talk a bit more about the platform strategy that we're doing to enable this?
Speaker: Yeah, I'd love to.
Speaker: So our platform strategy is fundamentally built around what you were saying.
Speaker: digital data connected consistency.
Speaker: And it's around building and providing services, both business and technical with the aim of bridging activities such as data, such as legacy and new.
Speaker: Our aim is to really unify these services to make it very, very easy to connect.
Speaker: We started this journey about 24 months ago and we had 30 internal systems.
Speaker: We simply wrapped around these systems and now we're starting to build out these microservices.
Speaker: What we see in the future is that we want to extend that internal kind of infrastructure out more publicly to our clients, to our service providers, and to anybody else that wants to connect into this ecosystem to really help drive forward where we think the future of custody is actually going to look like.
Speaker: And we think that's going to be market space.
Speaker: really exciting things been going on behind the scenes and now yeah sharing it with everyone out in the world and we've teased market space so much now that I think we have to jump into it we can't leave the the listeners waiting any further so Suman come on put us out of our misery tell us a little bit about what market space is and and the needs it's aiming to meet
Speaker: Thanks, Eleanor.
Speaker: And I'll start with a very simple definition so we can get people to have a clear understanding of it.
Speaker: So MarketSpace is HSBC's new post-trade solution, which essentially allows our clients to access a range of services through a single platform.
Speaker: So that's it at its simplest point.
Speaker: And I'll touch more on what we're trying to solve with MarketSpace, because I think that will give people a better idea of the kinds of things that they can use MarketSpace for.
Speaker: So at its core, we're trying to revolutionize what was a complex and fragmented landscape, you know, in the post-trade space, sometimes fragmented internally, you know, between our different business units.
Speaker: If we start, we talked about two key areas earlier, you know, connecting to our clients and connecting to the market.
Speaker: MarketSpace actually started its journey at that point where, you know, we spent time connecting into CSDs to improve our connectivity into the markets and then built APIs, chatbots, so that clients could connect to us through different channels to what were traditional channels.
Speaker: So those were the fundamental building blocks.
Speaker: And
Speaker: Some of that connectivity piece Steve just touched on in his explanation around the platform strategy.
Speaker: You know, we want to be able, we want clients to be able to access traditional assets through CSDs today.
Speaker: But we recognize we need a platform that's going to cater for digital asset exchanges as we move forward as well.
Speaker: So, you know, those kind of things were the building blocks of market space.
Speaker: And we've then built on it in the last 12 months or so with two further ambitions.
Speaker: Firstly, it's integrating security services without other business lines across HSBC Group, for example, GLCM.
Speaker: We've listened to our clients who've said, you know, they want cash and securities data consistently from one place.
Speaker: Having one piece of the puzzle is great, but actually it doesn't give them the full picture that they need to service their business appropriately.
Speaker: Similarly, we're looking at connecting better with our FX businesses for when clients need to do custody FXs, for example, and also equities where we can provide an end-to-end opportunity around execution and custody.
Speaker: And, you know, Alexis will talk later, I'm sure, about the fact that clients want that end-to-end solution, the convenience to be able to access those.
Speaker: So that's the first part of us integrating better with our internal business units.
Speaker: Secondly, you know, Steve touched on open architecture and we want to open up our ecosystem to third party providers such as fintechs or other technology solution providers, because we know they have a role to play in helping us to achieve the ambitions of ourselves and our clients so they can help us automate to digitize and to ultimately improve that client experience that we're looking to hit.
Speaker: These partnerships will help us meet the needs of our clients for today, but also for tomorrow, because we know providers will come up with innovative solutions that have a big part to play in our ecosystem.
Speaker: So
Speaker: that second part of allowing third parties to play a role in our ecosystem and provide solutions to our clients is a key part.
Speaker: And again, joining that up and saying, once clients connect to our platform, they can access a range of services, whether it's HSBC provided services or from third parties.
Speaker: And what we hope to do for our clients is reduce integration costs from having to connect with lots of different providers, which is one of the challenges that the world faces today, given the constrained cost environment as well.
Speaker: Oh, absolutely, yeah.
Speaker: Okay, Simon, great stuff.
Speaker: You've given us a really good overview there of the kind of the philosophy, the ethos, the ambitions.
Speaker: But Steve, let's get into some of the technical nitty gritty.
Speaker: Tell us a little bit about how MarketSpace delivers on these needs technically.
Speaker: And maybe are there any considerations to be aware of from a technical perspective as well?
Speaker: Yeah, so MarketSpace fundamentally benefits from the building blocks that I just mentioned that we started about 24 months ago.
Speaker: But it leverages the legacy infrastructure and the legacy network that we had.
Speaker: We simply put modern technologies on top of it.
Speaker: We heavily invested in these areas in recent years to develop these solutions to ensure that we had this consistent data elements.
Speaker: And so we can simplify these data flows.
Speaker: A key aspect of implementing these key principles is what we're calling the strangle pattern.
Speaker: This approach helps us re-engineer traditional services in a meaningful manner for our business.
Speaker: Our open architecture enables server providers to add, develop and enhance our services.
Speaker: And this will allow us to integrate and engage with our clients in a more meaningful fashion.
Speaker: We continue to focus on innovation around data aggregation and normalization to drive this consistency across our network so that we can have the right level of analytics to spot the necessary insights.
Speaker: But also with this open architecture, we can embrace some of the disruption that is to come.
Speaker: And that is at the heart of what we're trying to do from a technical perspective.
Speaker: And that just happens to marry up really well with the principles of MarketSpace.
Speaker: Great stuff.
Speaker: So Alexis, let's bring you back in off of what Steve said there and maybe get a little view around why that kind of collaboration that Steve has alluded to with clients and with third parties is so important in the future and the digital landscape.
Speaker: Yeah, thanks.
Speaker: And Steve, Stumann, and I have been working together for a few years now.
Speaker: And when we
Speaker: first started on that journey, they kind of had me as a strangler pattern in open architecture, neither of which term I really properly understood.
Speaker: But when they finally were able to translate that for me and I could get my head around it, what it screamed at me was we were able to make corrections, if you like, and enhancements and updates to our legacy platform in a very new and quick way.
Speaker: And also we were able to allow our clients flexibility in terms of how they wanted to connect with us as an organization.
Speaker: because we started that journey together with the shared alignment of having clients at the heart of everything we do.
Speaker: And because that design approach for our products and services was so completely lined up with what, what we wanted to do around that client agenda.
Speaker: It was really straightforward for us to get experimenting with, with the, the, the nascent building blocks or the building blocks that gave birth to, to what is now market space.
Speaker: And we,
Speaker: genuinely want our clients to see us as more than just a service provider.
Speaker: We want to enable direct collaboration with them and ensure that our solutions really address their challenges and focus areas.
Speaker: Yeah.
Speaker: Using the core technology and infrastructure that Steve's just discussed, we have the power to create solutions with one client that are scalable and desirable to all.
Speaker: And it's really important that we provide more and more digital solutions in a simple way.
Speaker: that optimizes our relationship with those clients across the breadth of our business.
Speaker: And here I'm talking beyond security services even.
Speaker: I'll give you one example of the recent launch of our pre FX validation microservice, where we collaborated with a client who was looking to automate an historically manual and time consuming process within their restricted markets.
Speaker: And through this partnership, we were able to deliver an API enabled solution that reduced their turnaround time from hours to a matter of seconds.
Speaker: which has had a significant impact on closing out the gap between FX executions and settlement lifecycle.
Speaker: The microservice is scalable across restricted many of our clients' FX models, demonstrating our ability to digitize and scale through collaboration.
Speaker: But it all comes back to the things that Steve was talking about there, which have their roots in the strength of a pattern, open architecture, and real flexibility around client need.
Speaker: to solve problems.
Speaker: So we also know that HSBC is a large organization and our clients are often engaging with multiple areas at once.
Speaker: Hence my comment that these, some of these solutions, in fact, many of these solutions will span beyond security services.
Speaker: MarketSpace allows us to provide clients with a gateway that provides more simple access to an array of services that allows them to successfully navigate our security services and markets landscape.
Speaker: And where we have the expertise, we'll continue to build in-house solutions, but we're also super mindful of the fact that technology and its landscape is changing quickly and the needs to deliver digital transformation can outweigh our ability to innovate internally.
Speaker: So that's why a key theme of our ecosystem is to bring in external third parties and FinTech solutions to deliver a pace and provide our clients with the right solutions.
Speaker: With this collaborative mindset shift, our clients can leverage market space to champion their own voices and expand their digital footprints with ease to maximize their strategic business goals.
Speaker: So we're really proud of the work that we've been able to do together for the last few years.
Speaker: Yeah, absolutely.
Speaker: And understandably so.
Speaker: It sounds like there's an awful lot that's been going on behind the scenes and you're really making this work now.
Speaker: But for our listeners, Alexis, could you maybe spell out some of the really specific benefits that MarketSpace is delivering?
Speaker: In order for the ecosystem to be a success, we have to be transparent on how clients and third-party providers benefit from it.
Speaker: That's really so that we can ensure alignment and successfully collaborate, because that's
Speaker: what the open architecture model is ultimately there to encourage and to begin to drive solutions from.
Speaker: So providing multilateral connectivity, streamlines data transfer between our clients, HSBC and service providers and provides greater all around efficiency for the security services landscape.
Speaker: At a high level, the key benefits of market space are it's that it's simplistic in nature.
Speaker: All of our post-trade solutions are available through a singular access point leveraging multilateral connections.
Speaker: It allows us to work smarter through accessing real-time data to provide opportunities through seamless connectivity.
Speaker: And it's available now.
Speaker: Much of the core technology infrastructure is live and in use, allowing us to scale efficiently with strategic providers over the next 18 months.
Speaker: So from our client's perspective, some of the key benefits would be convenience, solutions, reliability, efficiency, and flexibility.
Speaker: And let me just elaborate on one of those flexibility to illustrate the way that we consider client benefits is that seems to be the, the Holy grail of what everyone is looking for in the current environment.
Speaker: Another challenge for our clients is how they connect to solutions.
Speaker: And that can be in contrast to their chosen operating model.
Speaker: So that impedes their digital adoption and access to a wider range of solutions.
Speaker: Market space provides a singular access point solutions by a consolidated suite of digital channels.
Speaker: that creates a consistent user experience and fits with our client's strategic needs.
Speaker: Whether that's portal-based, through reporting solutions, or through direct integration with APIs and chatbots and other methods of communication, clients benefit from consistent data-driven connectivity and transparency.
Speaker: And then they have the flexibility to pick and choose their own preferences of services they want to connect to and avail of free trial periods to try before they buy with the knowledge that all future new services or enhancements will be available directly on the platform.
Speaker: And I think if we're really honest with ourselves, that's how most of us live our lives.
Speaker: And in the early days when we were first getting this off the ground, Sue and Steve and I had kicked around models that are pretty well known and understood to the average consumer.
Speaker: So things like Uber and Deliveroo and Amazon.
Speaker: And we really wanted to apply the same level of flexibility that we experience in our own lives to the experience in the post-trade world.
Speaker: And that's where a lot of our ideation was born from.
Speaker: Yeah, and I'm sure that will be music to our listeners ears, no doubt.
Speaker: Suman, anything you got there around the benefits?
Speaker: Just if we look at it maybe from a provider point of view as well, I think Alexis covered the client benefits fantastically there.
Speaker: And it's good to remind people that MarketSpace is a platform model.
Speaker: So we have benefits for both clients and providers.
Speaker: And actually, both parties benefit each other in that model.
Speaker: So if we look at HSBC, I mean, we're very well placed to enable those benefits given we're one of the leading security services provider in Asia and the Middle East.
Speaker: So we have that network and connectivity across that landscape and the ability to service our clients and create, and that creates a unique opportunity for partnerships with third parties.
Speaker: And, you know, if I go into that a little bit more, you know, our partners will gain access into our network of clients that are looking for solutions to help digitize and automate and improve the client experience.
Speaker: So
Speaker: you know, at its simplest point, market space is implementing a platform model.
Speaker: It's connecting consumers who are our clients to producers who provide services.
Speaker: And some of those services will be provided by HSBC, as Alexis just talked about around using, you know, not just security services, but across markets as well.
Speaker: But it'll also be producers who are third parties who are not part of HSBC, but they provide a huge value into the chain.
Speaker: So it's a unique opportunity for those providers and third parties to actually
Speaker: access our clients and help our clients and ourselves solve that problem and help us on that digitization journey.
Speaker: A little bit similar to Amazon, Eleanor, where you can buy products from Amazon directly or third parties who might be listing services on Amazon.
Speaker: Yeah.
Speaker: So the other the other aspect, I think, is we specialize in Asia and the Middle East, as I mentioned, you know, these these markets often have untapped potential for many of our providers.
Speaker: So what we offer is we have the ability to help our providers diversify the coverage and we have the presence to support their growth and ambitions in those markets.
Speaker: We also have, as Steve touched on, a lot of technology infrastructure in those markets, particularly.
Speaker: along with relationships with cloud providers and other technology providers, which can help our partners as they diversify their global coverage.
Speaker: Another aspect is simplification.
Speaker: So in many cases, what we hear from clients and providers is that the integration efforts that clients and providers have to go through creates a big lead time around how they can onboard clients onto their products.
Speaker: And that's a frustration for clients as well as providers.
Speaker: But
Speaker: you know, through connecting and integrating with us once we can, we can allow providers to spend more time on product development and, and accelerating the onboarding of clients rather than the effectively wasted effort of connecting directly each time.
Speaker: And last but not least, I think one of the key features we're aiming to provide in market space is really to give clients a chance to trial products.
Speaker: I mean, how often in our personal lives do we try something and then really see the benefit ads, you know,
Speaker: I certainly do it all the time.
Speaker: So in this cost constrained environment, you know, the ability for clients to execute POCs with providers, you know, really provide real input into business cases so we can demonstrate value, I think will really help providers, you know, get clients on board with their solutions and demonstrate the value they bring.
Speaker: So I think there's real value on both sides of the equation there.
Speaker: Great stuff there, Suman.
Speaker: It would be really nice if you could outline some real-world use cases for us that maybe demonstrate where MarketSpace is delivering practical value.
Speaker: Yeah, thanks.
Speaker: It's a really good point.
Speaker: And as Alexis mentioned, much of this is actually live now and it's presenting us with opportunities to expand.
Speaker: I'll start with some of the key services that we have live already.
Speaker: So if we take market connectivity as an example, we've really focused on improving our real-time connectivity into markets such as Hong Kong, Singapore, Taiwan, Korea.
Speaker: And that allows our clients to get a real-time access to information as it happens.
Speaker: You know, many of those markets didn't have that, the opportunities of doing that previously.
Speaker: So enhancing that is really making a difference.
Speaker: We're also seeing market infrastructure evolve.
Speaker: So you're seeing things like the chess upgrade in Australia, Project Synapse in Hong Kong, where the ambition to provide real-time updates to all parties at the same time is there.
Speaker: And we want to help our clients solve those challenges.
Speaker: So that's a really good use case and talks about the connectivity piece.
Speaker: Secondly, I think in terms of data, we now have many APIs available, particularly across trade status and holdings, which clients can access.
Speaker: And what this gives our clients is access to information over and above traditional channels such as Swift.
Speaker: So in many cases, the attributes that we have available on our APIs actually is effectively a full integration into the data that we have in our systems.
Speaker: And it means that clients can resolve problems quicker, prevent queries from needing to be raised,
Speaker: and ultimately allow them to service their end clients better.
Speaker: Again, the analogy I'd give is, you know, when you want to see the status of a parcel, you can probably log into somewhere and see, okay, this is where it is now, rather than having to phone up, which is the traditional channel.
Speaker: So that's how we've transformed that experience.
Speaker: So we also see that extending to places like the front office, who trading desks now want to see real-time position information to manage their inventory better, for example.
Speaker: So not just security services, but actually across the value chain, real benefits there.
Speaker: Alexis spent time talking about the FX API solution that's live.
Speaker: So that's really looking at the workflow that we had in place historically and saying, actually, we can do this much better with the technologies that Steve's outlined now.
Speaker: So, you know, reducing that FX risk of potentially only executing at the end of the day to saying, right, once it's matched in the market, I can go and execute and really, really managing FX risk, particularly in light of the various geopolitical issues that we have going on around us.
Speaker: Absolutely, yeah.
Speaker: Steve has talked about the importance of our architecture, so we also know that China is an important strategic market for us and Steve's team has spent a lot of time creating cloud infrastructure with Ali cloud in China so that we can host our microservice solutions as we expand our features and capabilities in those markets so.
Speaker: All of this that I've mentioned is live and what we're looking to do now is build on that and work with colleagues in GLCM, for example, to provide that combined cash and securities view as we spoke about.
Speaker: So that's something we aim to do.
Speaker: We're also looking to bridge between traditional and digital assets.
Speaker: So building our own tokenization engine, which will be part of MarketSpace, which will provide the access to those digital asset services.
Speaker: And we've already worked with SGX and Tamasek in Singapore to tokenize bond issuance.
Speaker: So this is very much a continuation of that roadmap and looking to as the asset class expands.
Speaker: We're also in discussions with a number of providers, for example, ESG providers who have data that our clients want to be able to assess the ESG ratings of their portfolios.
Speaker: So, you know, there's a raft of third parties there, all which have niche data sets and collections and features, which, you know, if we bring them into our ecosystem, gives our clients a chance to choose the providers they need to best suit their needs.
Speaker: So...
Speaker: So bringing those in as well will bring real client value.
Speaker: And that's where our focus is really now connecting better internally within HSBC and also bringing some of those providers in into that ecosystem so our clients can benefit.
Speaker: Absolutely, as you say that ESG piece is just so key now across the board.
Speaker: So great to see that coming online.
Speaker: Steve, final question for you and then we'll get some sum up from everyone.
Speaker: But I mean, it sounds like you've been super busy, you've achieved so much already, but I have to ask, what are you planning in terms of developing this ecosystem in the future?
Speaker: In the short term, a key focus for MarketSpace is to navigate new technologies and asset classes for, for example, unlocking digital asset opportunities.
Speaker: We have a pattern in which we engage with this.
Speaker: As Sumit has mentioned, there's some markets that are actively implementing this, like ASX, but it is the tokenization piece because the digital asset ecosystem is just way too big to ignore.
Speaker: So therefore, it's going to be a key component of our
Speaker: Markets-based roadmap in the near future.
Speaker: But our aim is ultimately to be the provider of choice for both traditional and digital assets.
Speaker: We already have a number of key initiatives live in these areas, like Digital Vault.
Speaker: We had a project with Singapore called Project Hash.
Speaker: We had FX Everywhere.
Speaker: We will continue to focus and build out these capabilities, connecting all our traditional
Speaker: CSD elements with this future network of opportunity.
Speaker: Longer term, as HSBC's market space establishes itself in the market, we will prioritize desired utilities that we can scale quickly to ensure that the platform benefits from the interoperability of as many clients and providers' connections as possible.
Speaker: Great stuff Steve, it sounds like you're going to be super busy and look forward to checking back in with you in maybe six months to a year and seeing how that's all progressing.
Speaker: But for now it'd be great to wrap up with maybe some key takeaways from each of you for our listeners, any next steps, anything in particular they should be thinking about.
Speaker: Alexis can I come to you first?
Speaker: Yeah, sure.
Speaker: So my key takeaway is that in this ever evolving digital landscape to be successful, collaboration is really going to be key.
Speaker: Whether you're a client or a service provider with HGPC MarketSpace, we want you to feel empowered to connect with and share your ideas and needs and to collaborate and learn, not just with us, but from one another.
Speaker: We need to hear about you in order to grow an open and collaborative framework with our partners that aligns with our clients' roadmaps and visions for the future.
Speaker: And we want listeners to feel empowered to connect with us in order to leverage HSBC's depth of experience and global network.
Speaker: And MarketSpace's platform strategy and technology capabilities to springboard ideas and experiments into reality.
Speaker: Now is the time for us to engage and connect within the ecosystem's partnership.
Speaker: And to clients, I'd say get in touch with your HSBC dedicated client executives to find out more about the ecosystem and how it can benefit you to collaborate on future opportunities.
Speaker: And to service providers that are interested in working with us, we want to hear from you about how you think you could contribute to the ecosystem and become a strategic partner.
Speaker: Details on how to get in touch on our website, just search HSBC MarketSpace.
Speaker: And so to close off, let me just reiterate the power of our success is in our ability for HSBC clients and service providers to connect, share and engage with us.
Speaker: So please make sure you do.
Speaker: Do you have any final thoughts from you?
Speaker: Just want to reiterate is connectivity, the consistency that we want to ensure that we provide the best experience for our providers, our clients, and our partners.
Speaker: Perfect.
Speaker: So, Emma, over to you.
Speaker: I think we're all going to build on what Alexis has said, really.
Speaker: That key point she made, we've collaborated internally for a number of years across sales, product and technology.
Speaker: And that's been a key part of us growing internally.
Speaker: And I think in the last few years, we've collaborated heavily with our clients to build some of the solutions that I mentioned around market connectivity, data APIs, FX APIs.
Speaker: All of those things are driven by our clients.
Speaker: So really continuing to hear from our clients,
Speaker: is key for us solving the right problems end to end so that we get we get efficiency across the board similarly on the provider side we need we need their innovation we need your help and support to power this transformation journey so please do come and talk to us and help us solve these problems for us and our clients and i think as steve's talked about we've got that flexible architecture that can evolve and we want to evolve it in the direction that solves problems for our clients and enables third parties to play a role in that
Speaker: Brilliant stuff.
Speaker: Well, thank you ever so much, all three of you for joining us today.
Speaker: It's been fabulous to have you here to speak about custody trends, to hear all about market space, what it's delivering live right now, and also what you have planned.
Speaker: And I wish you all the best of luck with those future plans and look forward to hearing all about it in due course.
Speaker: And for those of you listening, thank you also for your interest.
Speaker: This has been HSBC Cyber Spotlight, a podcast miniseries produced especially by TMI for HSBC Global Viewpoint.
Speaker: To discover other episodes in this series, search for HSBC Global Viewpoint on Apple and Spotify or head to gbm.hsbc.com forward slash cybos where you can also find out more about HSBC's Transaction Banking Insights.
Speaker: and presence at Cybots.
Speaker: Thank you for listening.
Speaker: Thank you for joining us at HSBC Global Viewpoint.
Speaker: We hope you enjoyed the discussion.
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