Citi Subsidiary Banamex Implements Custody Mandate with Schroders

Banamex, a subsidiary of Citigroup in Mexico, has implemented a global custody mandate with the asset management company Schroders on behalf of Afore Banamex, the founder of the Mexican Savings Retirement System.

The mandate represent the first time that a Mexican pension fund has used an international asset manager for this purpose. The mandate involves trading and settlement in 22 countries.

“We partnered with Schroders and Afore Banamex to successfully work through a complex implementation process, as this was the first time a Mexican pension fund invested in international markets through segregated accounts,” said Roberto Gonzalez, Citi’s head of securities and fund services in Mexico.

“By working closely with Afore Banamex, Citi and the pension fund regulator in Mexico, we were able to define an operating model that allows us to effectively manage a global portfolio and at the same time comply with the specifics of Mexican regulation,” said John Troiano, global head of institutional business at Schroders. “We were pleased to work with Citi and to benefit from its investment operations expertise to help us launch this pioneering mandate in Mexico.”