16, Sir William Newton Street
Port Louis, Mauritius
The capital market in Mauritius, the second largest in the region, contributes significantly to the financial services sector with an annual growth of 10 percent. Coming a long way since its launch in 1989, the Stock Exchange of Mauritius (SEM) currently counts as a regional pioneer, being one of the precursors in sustainability for the African continent.
No wonder then that the island economy enjoys a leading reputation in the region for offering investors a dynamic securities market with world-class trading facilities. Having said that, the securities services industry is witnessing changes and the trend is expected to continue in the coming years, but there is a certain level of uncertainly regarding the changes the industry will undergo and its impact on custodian banks and investors.
With its on-the-ground presence in Africa, a robust custodian network that extends over 50 countries, and Euroclear as their main depository, Bank One has direct access to the deep insights of local and international experts in the securities services arena. We caught up with Khalid Mahamodally, Head of Securities Services at Bank One, to drill deeper into this specialised branch of financial services and understand how it is evolving amid the increasing focus on technology and sustainability in a post-Covid era.
Traditionally, securities services encompass safekeeping of assets, trade settlement, corporate action management and real-time platforms to access accurate reporting, leading to sustainable non-interest income generated from the asset under custody and from trading activity.
Coming to the main factors that impact the securities services industry, these are, in no particular order:
Indeed, investors are expressing increased curiosity when it comes to digital assets and alternative investments, and are eager to learn more from their custodian bank/investment advisors. Hence, there is a real need for custodian banks to invest in the required infrastructure to offer the digital assets services that lead to higher margins from the offering.
Having said that, investors still want a personal touch from their bank and actively seek the opinion of their expert investment advisors before proceeding with investments in traditional assets. All in all, the development of the securities services industry has resulted in more players putting pressure on margins and investors looking for add-on services that they can leverage on.
While we acknowledge that we cannot compete with big custodian banks in terms of the level of investment into new systems and market access, Bank One has adopted a different approach that involves putting the client at the centre of everything we do and targeting a specific market niche.
To elaborate further on what this approach involves, we have developed a hybrid methodology ensuring that the client is accompanied throughout his investment journey, that is, from account opening, investment requirement, to post-investment update from markets.
The additional services include but are not limited to performance reports, Lombard loans against Kenyan sovereign bond/EUROBOND and other classic assets, and investments in line with Environmental, Social & Governance (ESG) factors. Furthermore, leveraging on our direct shareholder presence in Kenya, Uganda, Tanzania and Rwanda, Bank One is well equipped to provide direct access to these markets to our clients for investment and ensuring competitive pricing and benefits from almost real-time market information sourced from our shareholder group – the Kenya-headquartered I&M Group PLC.
Our commitment to the custody business and our innovative spirit paved the way for the development of a full-fledged Custody Platform that allows our customers to view their portfolios online on a real-time basis, download valuation reports, and manage their investments anytime, anywhere and from any smart device. As the next milestone, we are launching our performance report functionality and same will be available to our clients in Q4 2022.
Furthermore, our securities services have also been recognised by the renowned London-based financial publication, Capital Finance International (CFI.co), which bestowed upon us the title of “Best Custodian Bank” in the Indian Ocean for 2021. The award panel highlighted that Bank One plays an active role in supporting businesses in sub-Saharan Africa (SSA) based on our unique onshore and offshore capabilities. Indeed, we are proud to belong to a ‘Star Alliance of Banks’ with a unique value proposition to serve the needs of SSA-focused clients through world-class personalised services and tailor-made solutions.
More recently, we were awarded a Long-Term Issuer Default Rating (IDR) of ‘BB-‘ with a Stable Outlook in June 2022 by Fitch Ratings for our first rating exercise. This positive rating provides both our investors and customers with an independently verified view of Bank One’s credit standing. With this favourable assessment by Fitch, Bank One now ranks among the top 15 banks in SSA from a rating perspective.
Bank One Disclaimer
Welcome to www.bankone.mu!
Please read the following important information before accessing this Website:
This Website is owned and operated by BANK ONE LIMITED and the use thereof indicate that you accept the Bank’s Terms and Conditions of Use.
If you do not agree to the Terms and Conditions of Use, you should not use the Website.
The Bank may, at its entire discretion, at any time and without notice, modify or update such Terms and Conditions of Use. Such changes shall be effective immediately and you shall be deemed to have accepted same if you continue to use the Website.
Although the Bank endeavours to provide correct information on its Website, it does not give any warranty express or implied as to its accuracy, completeness and reliability.
The Bank does not accept any liability for any errors or omissions of whatsoever nature as regards information, materials, functions and applications contained in its Website or as to any third-party Websites linked to or from its Website.
Terms & Conditions of Use
1) Information available on the Website are allowed to be printed and / or downloaded for personal use only and not for commercial purposes.
You may not reproduce, transmit or store any information contained on the Bank’s Website on any other Website without the Bank’s written permission.
2) The Website is intended to provide general information on the Bank and its products and services.
No information contained on the Website shall constitute or is intended to constitute financial, legal, accounting, investment or other professional advice or services. You are advised to take professional advice from a suitably qualified professional or adviser before taking any decision relating to your finances or business.
3) You acknowledge that information transmitted via the Internet is susceptible to monitoring and interception and you will be bear all risk of using such means. You further acknowledge that any unsolicited information communicated to us via Internet cannot be guaranteed to remain confidential.
4) The Website may contain technical, typographical or other inaccuracies and you are urged to contact us to confirm all information contained on this Website before placing any reliance on it.
5) The Bank agrees to make reasonable efforts to ensure full performance of its Internet Banking transactions. The Bank will be responsible for acting only on those instructions sent through Internet Banking which are actually received. The Bank does not assume responsibility for any malfunctioning in communication facilities not under its control that may affect the accuracy or timeliness of messages you send. The Bank will not be responsible for any losses or delays in transmission of instructions arising or caused by any browser software. It will, furthermore, not be accountable should you provide incorrect instructions or if your payment instructions are not given sufficiently in advance to allow for timely payment or delays in mail service.
Collection of Information
The Bank will not collect any information about you except where it is knowingly provided to us through this Website. The information we collect about you will depend on how you use the facilities offered via this web site.
In the event that you enter information in the process of completion of an online application form, the information will only be collected by us if you submit that online application to us. In other words, if you log out prior to submitting your application, any information which you had entered would be automatically deleted.
The Bank requires information to understand your needs and provide you with a better service, and in particular for the following reasons:
Internal record keeping.
Use the information to improve its products and services.
Sending periodicals and promotional emails on new products, special offers or other information which the Bank thinks you may find interesting using the email address which you have provided.
Our Contact Centre may call you to suggest products and services that are relevant to your needs based on the information you have provided.
Occasionally, the Bank may also use your personal information to contact you for market research purposes.
The Bank may contact you by email, phone, fax or mail and may use the information provided to customise the Website according to your interests.
The Bank will not sell or distribute your personal information to third parties unless it has your permission or is required by law to do so. You may request details of personal information which the Bank holds about you under the Data Protection Act 2004. If you would like a copy of the information held on you, please write to us.
If you believe that any information the Bank is holding on you is incorrect or incomplete, please write to or email us as soon as possible. The Bank will promptly correct any information found to be incorrect.
In no event will the Bank be liable for any damages including but not limited to direct or indirect, special, incidental, consequential or punitive damages, losses or expenses arising out of the use of its Website, or incurred as a result of any failure of performance, transmission of information, any interruption or availability of its Website, delay in operation or transmission, computer virus, loss of data, or otherwise.
Neither the Bank nor its directors, shareholders, agents, consultants, representatives, officers or employees shall be liable for any damages or losses resulting from your use or inability to use its Website or any information contained therein, including without limitation any direct or indirect, special, incidental, consequential or punitive damages whether arising out of contract, statute and tort or otherwise.
"*" indicates required fields
"*" indicates required fields