Brown Brothers Harriman (BBH) has been selected by Industrial and Commercial Bank of China Limited (ICBC) to serve as overseas custodian for Bank of China’s (BOC) third collective investment vehicle authorised under China’s Qualified Domestic Institutional Investor (QDII) scheme.
Under this arrangement, BOC is the investment manager, ICBC is master custodian, and BBH is overseas custodian for this investment vehicle. In addition to global custody, BBH will also provide accounting and administration services, including compliance monitoring and fund execution services.
This represents the third Chinese QDII product launched by BOC and serviced by ICBC as master custodian and BBH as overseas custodian. The product will invest in securities held in the U.S., Euroclear, and Luxembourg, focusing on US Dollar-denominated fixed income assets and Luxembourg Socit d’Investissement Capital Variables.
“The good cooperation between ICBC and BBH has provided safe, efficient custody services for the Chinese domestic investors in their overseas investment. The upcoming QDII product under custody will further deepen cooperation between our two parties, and provide customers with high quality services,” says Dr. Zhou Yueqiu, general manager of the asset custody department at ICBC.
“We are delighted that ICBC has chosen BBH to act as overseas custodian for the third BOC QDII product. We worked closely with both banks to deliver world class quality service to the first and the second BOC QDII products and look forward to helping make this third one a success,” adds Susan C. Livingston, partner and head of Investor Services Asia Pacific for Brown Brothers Harriman.