The Bank of New York and Standard & Poor’s have created a strategic alliance that will enable investment managers to obtain Standard & Poor’s investment research and corporate data products through execution services provided by BNY Securities Group broker-dealers.
Under the agreement, BNY Brokerage Inc will acquire certain of the assets and liabilities of Standard & Poor’s Securities, Inc. (SPSI). SPSI currently provides brokerage services for investment managers who subscribe to various Standard & Poor’s analytic and research products.
As a result of the alliance, BNY Brokerage will assume SPSI’s client relationships, providing them with direct market access and broker-assisted capabilities that offer choice in trading models. The transaction is subject to regulatory approval and is currently expected to close at the end of February 2005.
Standard & Poor’s is selling its institutional brokerage business to BNY Brokerage to focus on its core business of providing independent research, data and analysis to investors to help them make better-informed financial decisions.