Clearstream Posts Increases in October

Clearstream saw year-on-year increases in securities under custody and international settlement during October, following the completion of its acquisition of Citco Bank’s hedge fund custody processing business.

The central securities depository (CSD), owned by Germany’s Deutsche Boerse, saw an increase of overall assets under custody increase by 4% to €12.3 trillion. Total securities held under custody by Clearstream rose by 6% to €6.6 trillion, while international settlement transactions were up 9% to 4m.

In addition, its global securities financing services, which includes triparty repo, securities lending and collateral management, increased 10% to €636.7 billion. Clearstream saw its biggest increase in its investment fund services, which grew 20% to process 800,000 transactions.

October was a significant month for Clearstream after Europe moved to a T+2 settlement cycle. Furthermore, it completed the acquisition of Citco Bank’s hedge fund custody processing business, a move which could see Clearstream obtaining a full coverage for a wide range of funds.

“Clearstream is now in a position to offer order execution and fund custody to the entire range of funds our customers would want to trade in such as mutual funds, exchange trade funds and hedge funds,” says Philippe Seyll, head of investment fund services, Clearstream. “This expansion is a step towards becoming a one-stop shop for funds four our customers.”