SS&C Expands Fund Administration Business in UAE with Abu Dhabi Office Launch

Rhea-AI Summary

SS&C Technologies Holdings, Inc. (SSNC) expands its global presence by opening a new office in Abu Dhabi, UAE, after obtaining regulatory approval from the Financial Services Regulatory Authority (FSRA) to deliver fund administration services within the Abu Dhabi Global Market (ADGM). The move solidifies SS&C's position as a leader in financial technology and services, offering end-to-end fund administration services to clients in the Middle East.

Insights

Market Research Analyst

SS&C Technologies Holdings, Inc.'s expansion into Abu Dhabi represents a strategic move to tap into a region with a burgeoning financial sector. The Middle East, particularly the UAE, is becoming a magnet for global financial services firms, thanks to its favorable regulatory environment and growing asset base. With the FSRA's approval, SS&C is well-positioned to leverage its technological prowess in fund administration and cater to the alternative investment market, which has been showing robust growth.

Entering the ADGM, which has seen over 50% growth in assets under management, indicates a significant opportunity for SS&C to capture market share and expand its client base. The presence of dedicated local experts is likely to enhance customer service and compliance with regional regulations, potentially leading to increased trust and business from local fund managers. For investors, SS&C's expansion may signal a company in a growth phase, potentially impacting its stock positively in the medium to long term.

Financial Analyst

SS&C's announcement has direct financial implications, particularly considering the $2 trillion in assets under administration and its position as a leading alternatives fund administrator. The strategic expansion into ADGM could result in increased revenues from new and existing clients in the Middle East. Investors should note the company's robust track record in the region, which may translate into a successful expansion.

However, investors should also consider the costs associated with establishing and maintaining a new office, including the hiring of local experts. While these expenses can weigh on short-term earnings, the long-term growth potential in a high-growth market could offset initial costs. It's also important to monitor how effectively SS&C integrates its global expertise with local market needs, as this will be critical in realizing the anticipated benefits of the expansion.

Legal Expert

The regulatory approval by the FSRA is a key milestone for SS&C, as it provides a gateway to the Middle East's financial services market. The legal implications of obtaining such approval should not be underestimated, as it reflects the company's ability to meet stringent regulatory standards and operate within a robust legal framework. This could serve as a competitive advantage, enhancing SS&C's reputation for compliance and risk management.

Investors should appreciate the importance of regulatory compliance in financial services, as any misstep could lead to significant legal and financial repercussions. SS&C's proactive approach in securing regulatory approval and establishing a local presence with knowledgeable leaders in regulatory affairs may reduce legal risks and foster a stable operating environment, potentially leading to sustained long-term growth.

The world's leading fund administrator obtains regulatory approval and strengthens its presence in the Middle East

WINDSOR, Conn., March 27, 2024 /PRNewswire/ -- SS&C Technologies Holdings, Inc. (Nasdaq: SSNC) today announced an expansion of its global footprint by opening a new office in Abu Dhabi, United Arab Emirates. The Financial Services Regulatory Authority (FSRA) has granted SS&C full approval to deliver fund administration services within the prestigious Abu Dhabi Global Market (ADGM).

The newly established office in the Al Maqam Tower within the heart of the ADGM will enable SS&C to offer end-to-end hands-on fund administration services to clients, further solidifying its financial technology and services leader position.

The fund administration offering in ADGM completes SS&C's full range of services to alternative fund managers in the Middle East. SS&C has a robust track record of serving nearly 850 financial institutions and corporate clients in the region, with 140 clients leveraging its cutting-edge fund administration technology. With the regulatory license to operate in ADGM, SS&C is poised to enhance its offerings with dedicated local experts who will benefit from the full scope of the firm's global expertise.

Katarzyna Lupa-Nowicka (Head of Private Markets Operations, Middle East) and David Forrester (Head of Hedge Operations, Middle East) will lead the new office in Abu Dhabi.

"We are excited to cement our presence in the growing Abu Dhabi Global Market with the new operating license and on-the-ground presence," said Bill Stone, Chairman and CEO. "With more than $2 trillion in assets under administration, SS&C GlobeOp is the leading alternatives fund administrator in the world. We pride ourselves on upholding world-class standards in our technology and service offerings, paired with deep knowledge of local markets and regulations. We look forward to bringing local and global managers looking to invest in Abu Dhabi's falcon economy flexible, tailored solutions to support their growth."

Arvind Ramamurthy, Chief of Market Development at ADGM, said, "We congratulate SS&C on the inauguration of their office within ADGM, showcasing their steadfast dedication to Abu Dhabi. SS&C's establishment underscores the burgeoning prospects for financial entities, fund managers, and alternative investment firms in the region, affirming Abu Dhabi's appeal as the preferred hub for such companies. With ADGM's robust regulatory framework and abundant opportunities within its international financial center, Abu Dhabi stands resolute as the destination for distinguished companies seeking growth and excellence."

According to the ADGM FSRA, fund managers based in Abu Dhabi have seen more than 52% growth in assets under management at the end of Q3 2023 compared to the same period the year before¹, with more than 100 managers operating 128 leading funds. SS&C already services some of the leading funds in the United Arab Emirates.

Learn more about Launching a Fund in ADGM and how SS&C can support you here.

About SS&C Technologies

SS&C is a global provider of services and software for the financial services and healthcare industries. Founded in 1986, SS&C is headquartered in Windsor, Connecticut, and has offices around the world. Some 20,000 financial services and healthcare organizations, from the world's largest companies to small and mid-market firms, rely on SS&C for expertise, scale and technology.

Additional information about SS&C (Nasdaq: SSNC) is available at www.ssctech.com.

Follow SS&C on Twitter, LinkedIn and Facebook.

¹ https://www.adgm.com/media/announcements/adgm-continues-unprecedented-growth#:~:text=Announcements-,ADGM%20Continues%20Unprecedented%20Growth%20in%20the%20Asset%20Management,Announces%20Record%2DSetting%20Q3%20Performance&text=Assets%20under%20management%20grew%20by,the%20same%20period%20last%20year

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SOURCE SS&C

FAQ

What is the significance of SSNC opening a new office in Abu Dhabi?

SS&C Technologies Holdings, Inc. (SSNC) is expanding its global footprint by opening a new office in Abu Dhabi, UAE, after obtaining regulatory approval to deliver fund administration services within the Abu Dhabi Global Market (ADGM). This move strengthens SS&C's presence in the Middle East and allows the company to offer end-to-end fund administration services to clients in the region.

What regulatory approval did SSNC receive for its operations in Abu Dhabi?

SS&C Technologies Holdings, Inc. (SSNC) received full approval from the Financial Services Regulatory Authority (FSRA) to deliver fund administration services within the Abu Dhabi Global Market (ADGM). This approval enables SS&C to operate in the prestigious financial hub of ADGM and offer its services to clients in the Middle East.

Who will lead the new office in Abu Dhabi for SSNC?

Katarzyna Lupa-Nowicka (Head of Private Markets Operations, Middle East) and David Forrester (Head of Hedge Operations, Middle East) will lead the new office in Abu Dhabi for SS&C Technologies Holdings, Inc. (SSNC).

What are the benefits of SSNC's presence in Abu Dhabi for fund managers and financial entities?

SS&C Technologies Holdings, Inc. (SSNC) establishing an office in Abu Dhabi within the Abu Dhabi Global Market (ADGM) provides benefits for fund managers and financial entities in the region. This move offers local and global managers flexible, tailored solutions to support their growth, leveraging SS&C's expertise in fund administration and technology.

How does SSNC's presence in Abu Dhabi contribute to the growth of financial entities in the region?

SS&C Technologies Holdings, Inc. (SSNC) opening an office in Abu Dhabi within the Abu Dhabi Global Market (ADGM) contributes to the growth of financial entities in the region by providing dedicated local experts and access to SS&C's global expertise in fund administration services. This enables financial entities to benefit from world-class standards and tailored solutions for growth.