Block chain technology could be solution to asset and wealth management

Block chain technology could be solution to asset and wealth management

HARARE, Block chain technology could be the solution to a myriad of challenges that continue to haunt the asset and wealth management as well as the pensions industry, Insurance 24 has learnt.

Besides economic challenges affecting the whole country, the industry is still gripped with  governance issues and lack of knowledge.
Smartvest portfolio manager, Michael Mautsahuku told Insurance24 that its time the pension’s industry embrace block chain technology as it will be crucial in dealing with such issues.
He said there continues to be lack of knowledge amongst the trustees who sit on boards of some funds.
He added that in general asset management companies and pensions firms do not have professionals who are accountable to a certain board hence leaves a gap in  governance issues.
“There is  generally lack of knowledge amongst the trustees who sit on the board however  Zapf has introduced a certificate of proficiency which believe will go a long way in addressing those issues.

 

Pension secretaries and general asset management do not have professionals like company secretaries who are accountable to a certain professional board. Issues of cooperate governance need to be looked at and discussed educating the public relating to asset management.  There is macro-economic conditions if the country is not doing well people do
not have access basic information they need” he said
Mautsahuku said the future of asset and wealth management in light of advancement of technology is going to be affected with artificial intelligence taking over and replacing people.
This, he said will improve on transparency issues in the industry and issues of corruption.
“What this means is that that everything for the asset management   or pension industry is going to been taken over by technology.
“The reason we have asset management and, investment advisers, pensions secretaries means there is no free flow of information. With adequate information we won’t need all those intermediaries who charge fees for the will affect the eventual   pension receiver.
So what would happen is that the information would be publicly available. No need for asset management, pension secretaries, etc,” he said.
He said a new function of investment advisers has just emerged and advise companies for a fee.
He however said it’s an advantage to pensioners as all those that are currently taking a fee will no longer be able to do so although it will create unemployment.