The Bank of New York has been appointed global custodian by Natexis Banques Populaires (NBP), the wholesale arm of the French banking group. Bank of New York will service Euro80 billion of assets under custody across 48 different countries. However, it will also appoint Natexis as its French sub-custodian for a large proportion of the French assets it has in custody.
“This is a very important mandate for The Bank of New York in a key market where we see significant growth potential,” says Tim Keaney, executive vice president and head of Europe, The Bank of New York. “Natexis Banques Populaires is one of the largest in-sourcers of securities services to banks and private banking units in France as well as to medium size fund managers and we are looking forward to working with them as a global partner to support their business.”
The two banks say they also intend to “develop a closer cooperation across multiple products such as fund administration and transfer agency.” Banques Populaires will become the preferred partner for The Bank of New York across multiple products in France while The Bank of New York will be the preferred partner for Natexis Banques Populaires for off-shore securities processing products.
“To enable Natexis Banques Populaires to expand its securities business globally, we had a desire to select a high quality partner in the custody sector with international capabilities and a strong product set,” says Jean-Yves Forel, Head of the Securities Servicing and Global Payment Services, Natexis Banques Populaires. “The Bank of New York fits all these requirements and will be an important part of our strategy of ensuring that our clients benefit from a consolidated product offering across Europe and the US. It is one of the key elements in Natexis Banques Populaires’ strategic plan to deliver to our customer base a geographic coverage of 101 countries with associated securities management services including efficient corporate actions and tax reclaim processes. This agreement can be regarded as most significant for both banks and will strengthen their natural positions on their respective market and expertise.”