Maitland to handle PSG fund administration
PSG Fund Management has appointed Maitland as fund administrator for funds valued at R12.5 billion, boosting funds under administration in Maitland’s fund services division to R325 billion.
The PSG funds are 16 South African unit trust funds with a total value of R8.5 billion and 34 international fund of funds with a total value of R4 billion. The local funds will be placed on the Maitland fund administration platform at the end of September followed by the international funds on a phased approach from October 2008 through to January 2009.
Fund Services MD, Dale Lippstreu (pictured) said that the outsourcing of back office functions is now well established as best practice and independent administration is increasingly specified as a requirement by end investors.
Maitland’s administration business is operated from its Cape Town premises with client support rendered out of Cape Town and Luxembourg. International funds have recognised the benefits of “offshoring” in South Africa, with Maitland’s administration business now 6:1 local:international funds.
Lippstreu said: “A decade ago when Maitland (then FinSource) first explored the possibility of selling services into Europe, we were confronted with the twin challenges of establishing the credibility of outsourced administration as a concept, as well as South Africa as a viable outsourcing destination. Things have moved on!”
The Department of Trade and Industry organised a ‘Financial Services Outsourcing to South Africa’ seminar on 10 September at the South African High Commission in London. Lippstreu spoke on “South Africa as an established destination for third party administration services”.
