FUND ADMINISTRATION

Athene Asset Management and MUFG agree outsourcing deal

MUFG to provide outsourcing for certain middle and back office operations at Athene Asset Management.

By Hayley McDowell hayley.mcdowell@strategic-i.com May 15, 2017 2:34 PM GMT

Athene Asset Management has chosen MUFG - the asset servicing arm of Mitsubishi UFJ Financial Group - as an outsourcing provider for certain middle and back office operations.

The Los Angeles-based investment advisor firm explained MUFG will provide business outsourcing services and staff augmentation to support its growth.

Troy Spencer, executive vice president of business operations and compliance at Athene Asset Management, said MUFG’s flexibility in outsourcing, “specifically suited our operating needs and unique business control processes”.

MUFG currently provides administration services for over 2,400 funds across investment strategies, asset types and fund structures. It has over $485 billion in assets under administration.

John Sergides, global head of sales for MUFG Investor Services, added the firm works with a select group of prestigious asset managers.

“We listen to our clients first and foremost, and this allows us to customise solutions to ensure we operate as a business partner for our clients and not simply as a service provider,” he added.

MUFG’s full-year report for the fiscal year ended 31 March 2017, revealed its consolidated gross profits decreased by 131.3 billion yen to just over 4 trillion yen.

The firm said a decrease in Japanese yen value against other currencies and a decrease in fee income from the sale of investment products were behind the fall in profits.