Saudi Arabia’s Custody and Fund Administration markets are entering a new phase of growth, with increasing scale, sophistication and institutional demand reshaping the Asset Servicing landscape.

Effective ESG reporting should be more than a disclosure exercise. It should provide the structure and information needed to strengthen oversight, accountability and decision-making.

The Mansion House reforms are driving significant structural change across LGPS Pools. Effective transition risk management, custodian oversight and resilient operating models will be critical to managing the resulting operational complexity.

ODD on emerging managers requires a proportionate approach that identifies material risks without creating unnecessary burden. Effective diligence should balance robust assessment with the realities of less mature operating models and resources.

Combining due diligence workstreams can give allocators a more complete view of manager risk and opportunity. An integrated approach supports better-informed decisions while aligning financial performance with broader developmental objectives.

Multi-allocator ODD can reduce duplication and create efficiencies for both allocators and managers. For DFIs in particular, a coordinated approach can support consistent risk assessment while advancing shared developmental objectives.

Selecting critical service providers is a material operational risk decision. The right provider must align with operating model and oversight need to support a resilient control environment.

Point-in-time ODD establishes an essential operational risk baseline. Ongoing manager monitoring helps maintain that oversight, evidence remediation and identify new risks as managers evolve.

Effective ESG policies provide the framework for translating long-term goals into clear objectives, measurable criteria and accountable governance. Ongoing oversight are then essential to keep those commitments effective in practice.

Co-sourcing can make ODD more flexible, efficient and scalable while retaining internal control. It gives allocator teams access to specialist expertise across asset classes, geographies and regulatory environments without weakening manager relationships.

Tailored ODD can help allocators identify operational risks that are often more pronounced in emerging markets. A proportionate approach also supports managers in strengthening standards over time.

Ongoing monitoring is essential to ensure managers remain aligned with investment objectives and mandates. Sophisticated automation can make that oversight more efficient, consistent and effective at identifying emerging issues early.

This joint ORC-EYG piece explores how targeted operating model improvements can reduce complexity and help firms get more from existing platforms.

Saudi Arabia’s custody and fund administration landscape is evolving rapidly as regulation, localization and partnership models reshape the market.

Scale and reputation do not eliminate operational risk. Thorough ODD remains essential for identifying risks that may be overlooked when assessing large, well-established asset managers.

Selecting the right ESG data and metrics is critical to effective measurement. Criteria should align with strategic objectives, regulatory requirements and stakeholder expectations while remaining practical and decision-useful.

Clear, measurable ESG objectives provide the foundation for an effective framework. They help align investment strategy with stakeholder expectations, improve transparency and support consistent assessment of long-term value creation.

Operational resilience requires clear oversight of critical services, dependencies and third-party risks. Strong governance and continuous monitoring help identify vulnerabilities and respond effectively to disruption.