Euroclear Bank is reducing its safekeeping fees for international debt securities (including eurobonds) by EUR 20 million per year as of 1 May 2006.
This latest move to share growing economies of scale and lower operating costs with clients means that, over the past three years, more than EUR 50 million in tariff reductions have been implemented by the Brussels-based service provider for the custody of international debt securities.
Newly defined thresholds in Euroclear Bank’s sliding-scale safekeeping tariff will offer steeper discounts at both the mid-range of business, as well as the high-volume end of the scale.”We never lose sight of our core business objectives and are delighted that we are able continue improving our competitive value proposition by enhancing services and lowering fees,” said Martine Dinne, CEO of Euroclear Bank. “The Euroclear Board, comprised of clients, welcomes this development, which reinforces Euroclear Bank as the settlement location of choice for eurobond and other securities trades.”
A portion of the latest tariff reduction has been made possible due to renegotiated terms with all shared common depositories for international securities, as part of a recent review process initiated together by Euroclear Bank and Clearstream. Euroclear Bank has elected to pass along to its clients the entire savings resulting from these new arrangements as of 1 May 2006, even though the savings will be realised incrementally by Euroclear Bank from May 2006 to July 2007.