Share Plan Service Providers: A Global View

by Hua Zhang, November 30, 2015
Vendor Reviews
Global

Abstract

Celent estimates revenues at share plan services in the US and UK were US$1.5 billion and US$400 million respectively in 2014, and will expand to US$2.2 billion and US$700 million respectively in 2020.

The ecosystem of share plan services includes plan administrators, tax accounting, consultants, broker/transfer agents, law firms, and consultants. The primary types of share plans used by large listed companies are stock options and restricted stock plans. Sixty-six percent of major corporations use plan administrators to manage their share plans. The proportion of firms using external administrators has increased gradually, and share plan service vendors include plan administrators, software/outsourcing vendors, consultants, and insurers.

In the report Share Plan Service Providers: A Global View, Celent examines the market and current trends, and profiles some vendors.

“Celent recommends that vendors differentiate themselves, show global service ability, and set up consulting teams to enter the share plan market,” says Hua Zhang, an analyst with Celent’s Asian Financial Services practice and author of the report. “There are many share plan service providers in the market, and each vendor has their own special ability, such as software, consulting, or administration. Even in the consultant niche market, there are some differentiation strategies.”

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned subsidiary of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

Executive Summary

1

 

Key Research Questions

1

Market Size

2

Vendor Overview

5

Morgan Stanley Smith Barney

9

Bank of America Merrill Lynch

11

Schwab

13

Fidelity

15

UBS

17

Computershare

18

Solium

20

SS&C

22

E*Trade

24

Aon Hewitt

25

PwC

26

Towers Watson

28

Mercer

29

Pinsent Masons

30

Principal

32

Go-to-Market Recommendations

33

Leveraging Celent’s Expertise

34

 

Support for Financial Institutions

34

 

Support for Vendors

34

Related Celent Research

35

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