BlackRock subsidiary BlackRock Investments Canada announced it is terminating its custodial services agreement, fund administration services agreement and securities lending authorization agreement with CIBC Mellon, effective January 2013.
The company, known also as BlackRock Canada, has selected State Street Trust Company Canada (SSTCC) to be the custodian for the funds managed by BlackRock Canada following the termination and to provide fund administration services previously provided by CIBC Mellon.
It is expected that SSTCC will appoint State Street Bank and Trust Company, an affiliate of SSTCC, as a sub-custodian, said a press release from BlackRock Canada.
The development is the result of a review by BlackRock Canada of the administration of the funds managed by it. BlackRock Canada believes that these changes will provide benefits to these funds and will align its service providers with those utilized by the funds managed by its affiliate, BlackRock Asset Management Canada Limited, said BlackRock Canada.
(JDC)