BNY Mellon has been appointed by insurer Genworth Financial as custodian of its AU$3.1 billion portfolio of Australian fixed income securities, said sources familiar with the matter.
BNY Mellons domestic sub-custodian for Australia NAB will provide services including settling transactions, processing payments and reporting for the Genworth portfolio of fixed income securities. BNY Mellon was chosen over incumbent J.P. Morgan, which became custodian for the Australian business in February 2007. Genworth decided to switch to BNY Mellon in 2009.
BNY Mellon extended its partnership with NAB in November last year, deepening the range of solutions available to its superannuation and fund manager clients to include private equity administration and related middle office services.
Chong Jin Leow, head of Asia, BNY Mellon Asset Servicing, said in a press release announcing the extension: In a press release announcing the “Transparency and risk management are firmly at the top of the agenda for Australian financial institutions,” said. “This is fueling demand for middle office-related services, such as sophisticated reporting, risk analyses and monitoring solutions, which enhance transparency and mitigate operational risk.
“By marrying our solutions, we’re ideally placed to work closely with these institutions, facilitating the flow of data that informs their investment decisions and assists them in addressing today’s evolving regulatory requirements. Australia is a key growth market for our company and NAB has been a strong partner for 14 years. We look forward to continuing to work with them in serving the needs of Australian clients.”
Genworth uses BNY Mellon as its custodian in the US for US$100 billion in assets.
BNY Mellon declined to comment on the latest appointment.
(JDC)