London
29 October 2015
Reporter: Stephanie Palmer

Investec adopts Euroclear CSD for UK funds


Investec Wealth and Investment has adopted Euroclear UK and Ireland’s automated settlement and custody system, CREST, for its UK investment fund flows.

The wealth manager has assets under management totalling about £26 billion, and, while distribution of its order payments is already automated, this will be extended to include settlement of units and cash movements, as well as holdings reconciliation.

CREST, Euroclear’s central securities depository (CSD) addresses some of the issues associated with fund processing, including time-consuming manual operations, high costs and high risk, and a lack of precision in the time frame of an exchange.

The system provides end-to-end automation of funds processing, including placement orders, settlement, transfers, reconciliation and corporate actions processing. It is designed to reduce operational and counterparty risk while reducing costs.

It can also help to reduce the trade-to-settlement cycle, allowing all unit movements to be monitored and automating reconciliation.

Judy Price, COO at Investec, said: “Euroclear UK and Ireland’s investment fund service now allows us to process unit trust funds alongside other CREST-eligible asset classes.”

“The decision to consolidate unit trust settlement with UK equity and gilt settlement using Euroclear introduces welcome automation and significantly boosts the operational controls and risk frameworks we have in place.”

Katrina Sartorius, head of product management at Euroclear UK and Ireland, added: “Extending operational efficiencies to the capital markets where we operate, while in parallel driving out as much risk as possible, is intrinsic to our role in the markets. So, it is a very rewarding compliment and sign of trust for a CSD such as ours to be chosen by one of the country’s major financial institutions for their domestic flows.”

More news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Ogier boosts their firm’s partnership
22 August 2017 | George Town | Reporter: Jenna Lomax
Huckle and Dryden were both previously part of the Cayman investment funds team and will take the firm’s global partnership to 54
ISDA: Transition period essential for post-Brexit derivatives trading
21 August 2017 | New York | Reporter: Stephanie Palmer
The International Swaps and Derivatives Association has urged UK and EU regulators to implement transitional provisions for derivatives trading after Brexit
SimCorp sees extension of Danish mandate
21 August 2017 | Copenhagen | Reporter: Stephanie Palmer
Danish asset manager C WorldWide Asset Management Fondsmæglerselskab has extended its SimCorp Dimension licence agreement to include the Data Warehouse Manager and the SimCorp Coric client communications tool
Liquidnet expands its EMEA team
18 August 2017 | London | Reporter: Jenna Lomax
Strobel will report to Bob Garrett, who is head of technology and based in the New York office
TPAs and managers looking to outsource fintech
18 August 2017 | London | Reporter: Jenna Lomax
Global third-party administrators and asset managers are looking to outsource financial technology at an increasing rate, according to Domenic Ionadi, strategic account manager at Confluence
Boeing and JCP name Northern Trust as global custodian
17 August 2017 | Chicago | Reporter: Jenna Lomax
The Boeing Company has mandated Northern Trust to act as global custodian for its €54 billion defined contribution retirement plan
Whitebox Advisors chooses Broadridge suite solution
17 August 2017 | New York | Reporter: Jenna Lomax
Whitebox Advisors has mandated Broadridge Financial Solutions to transform its technology platform into a fully integrated, hedge fund operation
More news