HSBC’s Alternative Fund Services has announced that it has received Bank of Italy approval to open a custody operation for alternative investment funds in Milan. The Italian hedge fund market grew by 180% last year.
In a further move, Paolo Lippolis has been appointed manager for HSBC’s Alternative Fund Services and will be based in Milan overseeing the development of the office, which includes acting as custodian for local hedge funds and funds of hedge funds with immediate effect, and recruiting a team of accounting specialists to offer fund administration outsourcing services from early next year.
Paul Smith, global head of Alternative Fund Services said, “We’re delighted to have Paolo Lippolis join our team as he is a prominent figure in the industry locally and will be the best representative to drive our business in Milan. Italian hedge funds have a lot of potential for further growth and the opening of the office means we’re well placed to apply our expertise and knowledge to help the local industry develop and mature.”
Lippolis said, “New Bank of Italy regulations, issued in April 2005, allow managers to outsource the calculation of the net asset value of their funds to their custodian. This is an important step for the Italian funds industry and will encourage growth in outsourced fund administration.”