Transfer Agency: New Alpha FMC report explores technological pathway to 2030
- With DLT still some years from mass adoption, the paper suggests leading Transfer Agents are realising the benefits of delivering incremental technology changes to their platform to prepare the ground for digital assets, rather than solely conducting large-scale transformation projects
- As demand for alternative investments, ETFs, and ESG products from younger investors grows, Transfer Agents are seeking to strengthen their capabilities by developing in-house solutions or forming strategic partnerships to meet the requirements of new asset classes
London, 5th June 2025
A new report by Alpha FMC, a global leader in consulting for the asset and wealth management industry, has revealed what capabilities asset managers want from their asset servicing partners, and why the sector needs to focus on delivering continuous impactful change over the next five years to align with the industry’s increasingly fast-paced change agenda.
Independently commissioned by financial software provider Bravura, the report – The Future of Transfer Agency: 2030 – explores how Transfer Agency industry will evolve during the next five years as the financial services and the asset management sector continues to change at an increasing pace.
It highlights how evolving client preferences, real time data and wider technology innovation will drive change and shape the future of Transfer Agency, and how both Transfer Agents and asset managers need to adapt to ensure relevance in a changing world.
The report concludes with five key areas to focus attention for success in the industry: provision of solutions to meet expectations, client experience, innovation, cost optimisation through technology and provision of real time data. While technology will underpin much of this, it is not the sole tool to maintaining a competitive edge and industry players will need to leverage either large transformation or continuous impactful change – there is no one size fits all.
Scott Lee, UK Head of Wealth, commented:
“This report is timely re-enforcing the importance of Transfer Agency to the wider asset management community and the need to deliver change at pace. We hope that this will open debate across the industry as to how best to transform using technology for the benefit of clients.”
Chris Biddick, CEO, Transfer Agency, Bravura, added:
“With the ongoing retailisation of the funds’ industry and investors demanding broader investment options, asset managers are increasingly expecting asset servicers to help them provide a cheaper, better and faster level of service for clients without having to invest in large-scale transformation projects.
“As a result, we’re working with asset servicing clients to build and implement modular-type solutions to help them plug current gaps in their propositions, add much-needed real-time functionality and drive efficiencies to create a competitive edge and protect valuable margin as regulation, client expectations, and economic headwinds continue to evolve.”
Key Insights from the Future of Transfer Agency: 2030 report:
- Realistic Outlook on Achievability: Distributed Ledger Technology (DLT) and generative AI may capture the headlines, but their full potential is unlikely to be realised before the next decade. In the meantime, the real transformation is already underway: by 2030, digital onboarding, client portals, and targeted automation will be industry standard. To keep pace, firms must prioritise practical AI use cases and intelligent automation to enhance efficiency and meet growing client expectations
- Transitioning from Offshoring to Automation: The days of large-scale cost reduction through offshore labour arbitrage are fading. Future gains will come from technology that boosts productivity and automates manual tasks in offshore centres. In the short term, a hybrid model – combining automation with leaner, more agile teams – will start to deliver tangible efficiencies
- Growing Need for Comprehensive Solutions: Asset managers are demanding more from their transfer agents, they’re seeking integrated, global models that support cross-border distribution and offer end-to-end solutions across regions, functions, and asset classes. In response, providers are leveraging technology, consolidation, and strategic partnerships to close the gaps and deliver truly comprehensive services
- Prioritising the Client Experience: The benchmark for Transfer Agents is shifting. Reconciliation is now a hygiene factor, a basic expectation, but no longer a differentiator. Future success will hinge on delivering a seamless digital experience, with real-time data, intuitive self-service, and frictionless onboarding at the core of client expectations
- Focusing on Greater Interconnectivity: With T+1 on the horizon and investor demand shifting towards alternatives, ETFs, and ESG funds, the pressure is on for better connectivity in fund distribution. A unified ‘network of networks’ is becoming essential, linking fund platforms, trading counterparties, and transfer agents to enable seamless, end-to-end integration across the market
Looking Ahead:
Looking ahead, the Transfer Agency landscape will keep evolving. While major change is unlikely in the next five years, TAs must quickly address emerging client needs. Early action, through better technology, improved client experience, and strategic partnerships, will strengthen market position and future resilience.
The full whitepaper can be downloaded online here: LINK