The buy-side and Covid-19: how investors are navigating the pandemic

For asset managers the pandemic has meant uncertainty and market volatility. BNP Paribas Securities Services takes a look at the challenges faced.

For asset managers and asset owners, the onset of Coronavirus has meant unprecedented levels of uncertainty and market volatility since March.

Among the risks buy-side institutions have had to keep a particularly close eye on are liquidity management, collateral management and FX risk management, while some regulations – for example, money market fund (MMF) reporting requirements – have been delayed.

Despite a partial recovery in the markets, unpredictability and fragility continue to be a major feature. In this article, BNP Paribas Securities Services shares its insights into some of the challenges market participants have faced – and what they will continue to focus on as the economy recovers from the pandemic.