J.P. Morgan has been selected by investment management firm Palmer Square Capital Management to provide prime custody solutions for its recently launched Absolute Return Fund.
J.P. Morgan will provide a range of services to the fund, including global custody, equity and FX prime brokerage, interest rate derivatives, OTC and futures and options.
Prime custody combines prime brokerage, global custody and other securities services through a single technology portal and integrated client service model. The J.P. Morgan Prime Custody Solutions platform combines the offerings of J.P. Morgan Worldwide Securities Services and J.P. Morgan Prime Brokerage. For more about prime custody, see “Hybrid or horror: Can custody and prime brokerage be mixed?” Global Custodian, Winter 2009.
J.P. Morgans offering includes automated collateral management, consolidated transaction and reporting technology utilizing a single portal and integrated customer service across all products.
We are seeing ever increasing demand from hedge fund managers who are offering alternative strategy mutual funds, says Devon George-Eghdami, managing director and head of Prime Custody Solutions at J.P. Morgan. Our ability to offer integrated capabilities across prime services, global custody and other securities services to these complex fund structures that must also meet 40 Act requirements is unique in the market. We are excited to be able to work with Palmer Square as they launch this new fund.
The Absolute Return Fund is Palmer Squares first open-ended mutual fund, which seeks capital appreciation with an emphasis on absolute (positive) returns and low correlation to the broader equity and bond markets.
The ability to partner with J.P. Morgan across the breadth of the Palmer Square Absolute Return Fund trading and custody needs regardless of investment strategy and regulatory requirements is a huge benefit to us both from an ease of execution and operations perspective, says Angie K. Long, CIO of Palmer Square Capital Management LLC. J.P. Morgan was able to structure a solution across the firm in a seamless way that enabled our fund to get to market quickly.
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