BIDV’s total securities under custody up 50% to $12 billion
BIDV achieved a 50% growth in total securities under custody during the COVID-19 pandemic and has sped up the process of product development.
- BIDV’s total security under custody grow 50% in 2020
- It implemented cash collection services via virtual accounts
- It launched BIDV e-Trust, a new custody core system
Singapore, 3 August 2021 – Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) was recognised as Best Custodian Bank in Vietnam at The Asian Banker Financial Markets Awards Programme 2021.
Financial Performance:BIDV’s total securities under custody grew 50% in 2020
Total securities under custody reached $12 billion in 2020, with a year-on-year (YoY) growth of 50%. The bank provided custody services for special state-owned institutional investors such as Vietnam Social Security and Deposit Insurance of Vietnam with total assets under custody of $6.8 billion, up by 60% YoY. In 2020, BIDV acquired 12 new custody mandates with 12 investment funds and has estimated opening assets under custody of VND 2 trillion ($87.8 million).
Compared with other custodian banks in Vietnam, BIDV is the only bank that provides comprehensive custodian services for all types of investment funds. It is also one of the first Vietnamese banks with autonomous technology and software system. Revenues from its custodian banking services increased by 24% in the first half of 2020, one of the highest in the market.
Assets Servicing and Safekeeping: It implemented cash collection services via virtual accounts
BIDV always focuses on new product solutions. The bank implemented a cash collection service via virtual accounts, providing solutions that automatically open and manage thousands of individual investors’ cash accounts in the portfolio management of fund management companies. It also enhanced daily transaction processing and reduced management costs and services fees for customers, while providing more efficiency for the bank.
Technology: It launched the BIDV e-Trust, a new custody core system
Custody assets are kept and monitored by the BIDV custody core system that ensures transparency. It clearly separates them from other assets of the bank and its customers.
BIDV e-Trust is a new in-house developed custody core system. The new system replaced the previous system that was purchased from an external contractor. It speeds up the bank’s transaction processing with higher accuracy, increased reliability and enhanced safety.
About The Asian Banker Financial Markets Awards
The Asian Banker Financial Markets Awards is a landmark recognition programme to benchmark institutional achievement and performance in the markets and exchanges landscape of Asia Pacific, the Middle East and Africa region. Recipients of these awards are honoured in a gala event that recognises their efforts in executing sound operational processes which participants can both learn and benefit from. A stringent and comprehensive evaluation process determines the awardees. For specific details relating to description of the awards, evaluation criteria and process, kindly visit http://www.asianbankerawards.com/financialmarkets/index.
About The Asian Banker International
The Asian Banker is the region’s most authoritative provider of strategic business intelligence to the financial services community. The global research company has offices in Singapore, Malaysia, Manila, Hong Kong, Beijing, and Dubai, as well as representatives in London, New York, and San Francisco. It has a business model that revolves around three core business lines: publications, research services and forums. The company’s website is www.theasianbanker.com
For further information, you may get in touch with:
Mobasher Zein Kazmi
Head of Research
Tel: (+61) 452 514 145