The second annual edition of the BNP Paribas Securities Services and Investment News New Zealand survey explores the shifting priorities of the local investment industry over the last twelve months and asks the market where they are focusing their efforts as they look to the future.
Last year the inaugural survey sampled the mood of a financial services industry on the turn.
After years of driving unlicensed on what amounted to poorly-defined dirt tracks, the investment industry was about to enter the professional racing circuit.
Ahead lay the chicane of regulation imposed by the Financial Markets Conduct Act (FMCA); an obstacle many industry players were not prepared for, and a few did not survive the change.
However, as the latest survey reveals, the local industry has more-or-less adapted to the new conditions. Investment firms still have their eyes on regulation but mostly via the rear view mirror.
The 2017 survey finds the industry instead looking ahead at new challenges such as the environmental, social and governance (ESG) curve or the double-edged allure of technologically-enhanced investing machines. They are also looking further afield for diversification opportunities, with investments in offshore assets, in particular global equities, infrastructure and fixed income, featuring high on their shopping list.
Interesting, traditional industry concerns about markets eased a little this year, smoothed over perhaps by a period of generally positive returns.
We trust this report helps to shine a light on where the industry is heading, and how it plans to get there, in an era that promises a few twists yet.
Download the research paper: