Capital markets must mobilise savings if they are to provide finance for industry, commerce and governments. Most savers invest through pensions, insurance or investment funds, rather than directly into securities. If institutional investors are to win the confidence of savers so they will entrust their money to them, they must be well structured and well regulated. Starting with privatisation in Eastern Europe and the former Soviet Union in the early 1990’s, Cadogan Financial has helped governments of more than 40 countries all over the world to create or reform their savings sectors.
In Russia Cadogan Financial’s work over nearly a decade focused on the need to develop vehicles to mobilise savings, involving provision of advisory services to the embryonic securities regulator across a wide range of legal and regulatory issues, which included the structure of capital markets, pensions and investment funds, institutional development, capacity building, the development of examinations for the qualification of market participants and of a comprehensive textbook.
In India Cadogan Financial carried out a comprehensive survey of investment funds to identify why they were failing to mobilise savings effectively.
In Bangladesh, Cadogan Financial worked on a project to seek to identify the potential demand for, and optimal design of, a product to mobilise Diaspora savings.
In Kazakhstan, we undertook a study to identify the barriers to successful mobilisation of savings by investment funds; a similar study was undertaken in Thailand to improve the potential for successful development of the asset management sector including provident funds.
