The Bank of New York has been selected by Banchile Administradora General de Fondos (Banchile) as global custodian for $120 million in assets currently being held by Banchile’s various international mutual funds.
The Bank of New York will offer Banchile a direct settlement service in the American, European and Latin American markets, enabling it to offer a broader range of investment alternatives to its customers. Bank of New York says Banchile will also be able to concentrate all transaction information in a single account, including the purchase and sale of bonds worldwide.
“The Bank of New York will enable us to take advantage of new business opportunities and offer an expanded suite of products and services to our mutual fund customers, as well as optimize the procedures involved in stock and bond purchasing and management,” says Andrés Ergas, investment manager of Banchile Administradora General de Fondos.
Banchile, an affiliate of Banco de Chile, was created in 1981 to offer mutual funds in the local market. Banchile has a 28.6% market share in terms of average total assets in 2003, according to the Asociacion Nacional de Fondos Mutuos. Currently, Banchile offers funds of short, medium and long term maturities, as well as mixed funds, funds with variable returns, equity funds and foreign currency bond funds.
“The Bank of New York offers its clients customized solutions, innovative technology, and dedicated customer service,” says Javier de Ussel, managing director and division manager of The Bank of New York’s Latin America Division. “Our high quality service and innovative product offerings will help Banchile enhance its current business, and we are confident that our relationship will continue to grow.”