While SIX already supports 18 out of the 20 leading regional banks in Asia, the firm intends to expand its business further over the next five years by growing alongside the market and driving innovation, the company's head of Asia told finews.asia.
«Singapore and Switzerland are very similar. There’s a lot that works between the two communities, but we’re not just trying to replicate our business from Switzerland. We're really trying to establish a business in Asia, for Asia,» Neil Thomas said in a discussion with finews.asia about SIX's regional growth plans and the future of banks in Asia post-coronavirus.
More widely known as the Swiss stock exchange operator, the SIX group also has a large post trading and financial information business, which has more than 20 offices globally, including in Singapore, Hong Kong and Tokyo, and a large data-collection hub in India.
«From a technology perspective, Asia has really taken to digitalization, so delivery mechanisms and making sure our clients can get the data they want is a key focus for us,» he said about the firm's efforts in the region, where it has a team of 50.
Looking East
Earlier this year, SIX opened its F10 fintech incubator and accelerator in Singapore, and is looking to build its SIX Digital Exchange (SDX) – an end-to-end platform for the issuance, trading, settlement and custody of digital assets.
According to Thomas, there is a «huge appetite for digital assets» in the region, and the firm is working on bringing its SDX to market here after launching in Switzerland.
The firm's growth plans haven't changed despite the Covid-19 pandemic. «We have remained focused on developing our business here, and are continuing to hire to build the organization. As it stands today, we are still on track to realize our growth plans,» Thomas said.
Complex Sanctions Environment
Apart from providing pricing data, corporate actions and reference data to financial institutions, one of the areas in which SIX has seen a lot of traction is the monitoring of sanctioned securities, particularly amid the ongoing U.S.-China trade war.
«There's a lot of foreign wealth an investment in Singapore, and you've got to understand the landscape you work in and your sanctions risk and be compliant,» Thomas said.
«The environment is complex, and financial institutions need good quality data and technology-driven services to ensure compliance,» he added.
Growing Exchange Ambitions
In July, SIX became the third-largest trading venue in Europe after Euronext and the London Stock Exchange, after clinching the $3 billion takeover of Madrid's Bolsas y Mercados, or BME.
Earlier this month, it also made a bid for the Milan-based Borsa Italiana.