BNP Paribas Securities Services has opened a new branch in the Netherlands to support asset managers and institutional clients through the latest implementation phase of the Alternative Investment Fund Managers Directive (AIFMD).
The custodian is ramping up its global offering and has also recently launched a Trustee and Depository service in the UK ahead of the AIFMD. The regulation, due to take affect in July, requires all alternative fund managers to appoint a depositary bank for asset safekeeping. During a press briefing last week, BNP Paribas Securities Services CEO Patrick Colle cited AIFMD as a key factor of the custodians strategy.
James McAleenan, head of the UK from BNP Paribas Securities Services, said: The final countdown to AIFMD coming into effect has started, but however well prepared fund managers believe they are for this implementation, it is still a far cry from reality. With four months to go, we continue to urge clients to accelerate the final phases of preparation for what we deem will be a significant re-shape of the alternative fund management industry in Europe and beyond.
Clients can benefit from the BNP Paribas Trustee and Depository offering in Europe as it ensures full compliance with all regulatory demands and guarantees the safety of assets.
James McAleenan, continued: Beyond the new infrastructure requirements, AIFMD also mandates to segregate risk management and valuation functions from portfolio management, which is why our solution includes a full range of services around valuation of complex products and alternative assets such as real estate, and collateral management.
BNP Paribas has over 90% of clients assets held within its proprietary network in 25 countries. Assets under custody total $7 trillion.
(JDC)