Brussels
08 December 2016
Reporter: Mark Dugdale

AFME issues new sub-custodian questionnaire


The Association for Financial Markets in Europe (AFME) has published a new due diligence questionnaire in a bid standardise and simplify them for sub-custodians.

Consensus was built to simplify the process of evaluating sub-custodians at the Network Managers (NeMa) Conference last year, prompting the AFME post-trade board to create taskforce, comprising 20 network managers, to produce a new harmonised questionnaire.

Using a Thomas Murray questionnaire as a baseline, AFME’s goal was to harmonise 80 percent of members’ questions. That percentage proved to be significantly higher when the association recently piloted the document.

Alan Cameron, global solutions sponsor for clearing and custody services at BNP Paribas Securities Services and chair of the AFME due diligence questionnaire taskforce, commented: “Our industry is delighted that AFME took the lead in addressing this long-running and increasingly burdensome issue.”

“We are grateful to all the banks that contributed to this project and look forward to working with them to ensure the maximum usage in 2017 and the years ahead. Whilst getting the questions agreed amongst ourselves is important, the success of this project will be measured by usage across our industry.”

The document, which is available now, will be reviewed by AFME in Q3 2017 to reflect any regulatory changes or major themes that develop over the coming year.

Firms that participated in the development of the questionnaire included Bank of America Merrill Lynch, BNP Paribas, BNY Mellon, J.P. Morgan, Northern Trust, Standard Chartered, Societe Generale, Standard Bank and UniCredit.

More custody 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
MetLife selects HSBC for custody services
18 January 2018 | Hong Kong | Reporter: Becky Butcher
HSBC Securities Services has been selected as custodian for MetLife across three key markets in Asia
Dutch custody mandate win for BNP Paribas
06 December 2017 | Amsterdam | Reporter: Stephanie Palmer
BNP Paribas Securities Services has been selected as global custodian for Ahold Pensioenfonds, the €4.5 billion pension fund of Dutch supermarket group Ahold Delhaize
GCF: Custodians should anticipate a shake-up
05 December 2017 | London | Reporter: Becky Butcher
Asset servicing professionals have mixed views on whether the market will see new global custody players appearing over the coming years, it emerged at Global Custody Forum in London
Global custody mandate for BNY Mellon
20 November 2017 | London | Reporter: Stephanie Palmer
BNY Mellon has been selected to provide global custody and other services for the open-ended investment company of First State Investments
RBC I&TS appointed custodian for Aviva Canada
01 November 2017 | Toronto | Reporter: Jenna Lomax
RBC I&TS will provide custody, foreign exchange and securities lending services for Aviva Canada’s corporate treasury assets
Northern Trust sees custody earnings increase
27 October 2017 | Chacago | Reporter: Jenna Lomax
The bank's custody and administration earnings have increased by 13 percent, from $299.4 million in Q3 2016 to $338.1 million in Q3 this year
RBC I&TS picked as custodian for Ireland fund
26 October 2017 | Dublin | Reporter: Jenna Lomax
RBC I&TS will provide custody, fund administration, treasury, collateral management and related UCITS fund services from its operations in Dublin
More custody news