Strong Financial Corporation says it has signed a multi-year contract with PFPC that will extend a 15 year investment services relationship between the two firms that primarily covers transfer agency services. The final terms of the agreement are still to be decided, but the deal will add integrated desktop technology to the services already used by Strong, including PFPC’s image and workflow and 529 product capabilities.
Michael DeNofrio, executive vice president and senior managing director at PFPC’s transfer agency arm, commented that “The margin pressure in today’s industry is great and the competition is intense. To continue to expand their position in the marketplace, firms…must have an efficient, cost-effective provider with a business model and technology that enable rapid decisions to meet the needs of customers.”
Ane Ohm, a vice president with Strong Investor Services, also noted that “The scales were tipped in favour of PFPC during our recent review of service providers because of an excellent track record with us, as well as expertise and quality of services they bring to the table.”
PFPC is the largest full-service mutual fund transfer agent in the US and the second largest provider of fund accounting services. It also provides distribution and subaccounting services, advanced output solutions, custody, securities lending, integrated bank transaction services and alternative investment services.
Strong is a wholly-owned affiliate of Strong Capital Management, and operates as an investment advisor to institutions, foundations, individuals, retirement plans, and financial advisors. Based in Wisconsin, it oversees more than $40 billion.