Financials

<h2 style="text-align: justify;"><span style="font-size: 12pt;">Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?</span></h2><p style="text-align: justify;">I&rsquo;ve been fortunate to have a broad career across financial services globally and the business and investment fields.&nbsp;<br>I spent 16 years with HSBC, from graduate trainer to International Manager to Chief Operating Officer. Working across Malaysia, USA, UK, Singapore, and Asia Pacific - across Corporate &amp; Investment Banking, Wealth Management, Lending &amp; Transaction Banking, Risk, Compliance, Technology, and Digital Transformation and Operations. Managing Business P&amp;Ls, sales, propositions, and functions - across teams from 10s to 100s.</p><p style="text-align: justify;">I also have extensive experience consulting and advising banks, insurance companies, fintechs, and vendors on the banking, finance, investment, and business landscape in Asia. I have worked with various clients, from McKinsey, Bain &amp; BCG to leading Sovereign Wealth Funds, PE Funds, Banks, Tech Vendors, and Fintechs.</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q2. What is the expected global growth case for financial services (banking, insurance, asset management, wealth advisory) by 2030, and which segments and regions are projected to grow the fastest?</span></h2><p style="text-align: justify;">Financial services continue to grow in markets and regions with strong economic and demographic growth and wealth creation. This growth is particularly apparent in areas such as wealth management, embedded finance, digital advisory, platforms, and sustainable finance, as well as in regions such as ASEAN and South Asia.</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q3. Which global financial institutions (banks, fintech firms, insurers, asset managers) are leading in international expansion, and what strategies are they using to capture new markets?</span></h2><p style="text-align: justify;">The major global and regional banks continue to do well, but the market continues to proliferate, with the strongest growth coming from new entrants and new digital propositions and solutions. From small startups to big tech companies, as technology transforms what is possible and the economics of financial services, existing leaders race to keep up, and regional banks find their sweet spot.&nbsp;</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q4. Which financial institutions are actively acquiring fintech firms or expanding into digital banking, wealth tech, and embedded finance solutions?</span></h2><p style="text-align: justify;">Technology in financial services today is somewhat of an arms race, so the largest institutions continue to invest huge sums to transform, digitalize, automate, and leverage their large customer base and distribution. &nbsp;On the other hand, new technologies open more and more of the market to competition, new models, and price transparency. &nbsp;</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q5. What are the emerging opportunities in tokenized securities, digital assets, and Decentralized Finance (DeFi) for institutional investors?</span></h2><p style="text-align: justify;">These areas hold the opportunity for dramatic improvements in efficiency inside financial institutions and also open up new businesses, models, and value creation while also breeding a range of new alternative competitors and payment channels - that are keeping the market vibrant.&nbsp;</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q6. How will the rise of financial super-apps (e.g., Revolut, Grab, Paytm, WeChat Pay) change the competitive landscape in banking and digital payments?</span></h2><p style="text-align: justify;">We have already seen these markets open up massively, with traditional banks giving up large market share and margins compressing dramatically. This will continue across more and more areas of financial services as they become commodities amidst a growing financial services wallet overall. With advisory and large, complex, and balance sheet-dependent businesses staying with large institutions. However, I see the traditional players leveraging the same tools to improve customer experience, efficiency, and profit, and the market overall staying competitive and well-contested. The key differentiator is the ability to scale and deploy technology safely and compliantly.&nbsp;<br>&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">Q7. If you were an investor looking at companies within the space, what critical question would you pose to their senior management?</span></h2><p style="text-align: justify;">There is always a shortermism in the financial services industry - focusing on quarterly results and annual bonuses, so if asked how they are positioning their business for success 3, 5, and 10 years from now. &nbsp;How are they investing in platforms, skills, and new models to stay relevant and compete as the markets open up to new competitors?</p><p style="text-align: justify;">Finance is becoming a technology business, like it or not. &nbsp;There still remain key skills and capabilities to keep an inherently unstable model stable and sustainable - but the ability to survive and thrive will be driven increasingly by the culture and capabilities of institutions to deploy technology to solve problems for customers better, faster, and cheaper.&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;">Expert Summary</span></h2><p style="text-align: justify;">Ivan McAdam O'Connell has an impressive career at HSBC, progressing from a graduate trainee to the Chief Operating Officer over 16 years, and has worked in diverse international markets including Malaysia, the USA, UK, Singapore, and the Asia Pacific region. His broad expertise covers areas such as Corporate &amp; Investment Banking, Wealth Management, and Digital Transformation. At HSBC, he was pivotal in steering business strategy, enhancing technological capabilities, and overseeing comprehensive governance and regulatory compliance. Ivan also has a wealth of experience consulting for high-profile clients like McKinsey, Bain, and various major banks and fintechs, providing strategic insights into the banking and finance landscape in Asia.</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p>