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BNY Mellon wins asset servicing mandate for ‘white label’ ETF platform

The ETF market has become a target for BNY Mellon as it looks to compete with State Street as the top ETF asset servicing provider

By Joe Parsons joe.parsons@globalcustodian.com January 29, 2018 12:22 PM GMT

BNY Mellon has become the exclusive asset servicing provider for HANetf, Europe’s first ‘white label’ UCITS exchange traded funds (ETF) platform for asset managers.

A ‘white label’ ETF allows asset managers to issue their own ETFs through a third-party platform, bringing more issuers to the ETF market in Europe.

“The European ETF industry is gaining significant momentum and we are seeing increasing numbers of established asset managers seeking a quick and easy way to get into the ETF space. HANetf’s timing is good – with our support, they are very well positioned to meet that burgeoning demand,” said Jeff McCarthy, CEO, exchange traded products, BNY Mellon.

HANetf will launch an Irish-domiciled platform this year, with the aim to lower barriers to entry for prospective ETF issuers by providing product management, capital markets, sales, marketing and distribution services.

The ETF market has become a target for BNY Mellon’s new CEO, Charles Scharf, as it looks to compete with State Street as the top ETF asset servicing provider.

Last year it restructured its ETF team following the appointment of McCarthy in the newly created role. 

It also hired Scott Coey to the new position of head of relationship development for ETF and structured products in EMEA, and Rob Rushe, who joined the company in October as European ETF segment executive to lead and execute the long-term growth in BNY Mellon’s European ETF platform.