State Street and Malaysian fund manager AmInvest have signed a contract for AmInvest to outsource its investment operations functions and custody services to State Street.
AmInvest is the new brand for the funds management business of AMMB Holdings Berhad, which manages both conventional and Shariah-compliant funds. AmInvest, which has assets under management (AUM) in excess of RM32 billion ($10.49 billion), will outsource its investment operations functions including trade matching, investment accounting and client reporting, along with investment analytics and custody services as the fund manager expands into overseas markets.
Commenting on the mandate, Harinder Pal Singh, chief operating officer of AmInvest said: “This represents a landmark deal for our business as we strive to take our investment servicing to the next level and, in so doing, recognize the need to continually evolve our operational model to align it with our strategic goals to further build our AUM over the next five years.”
Nick Wright, head of State Street’s Global Services and Global Markets businesses for Southeast Asia said: “Asian asset managers are increasingly outsourcing middle and back-office functions. The benefits of this include operational scale and can save them investing significant capital in technology and systems architecture. But most importantly it allows them to stay focused on what matters most to them– managing investors’ funds.”