HSBC Securities Services has been appointed as custodian and fund services provider by investment manager Equitile.
Equitile and HSBC have worked together to launch the first authorised contractual scheme (ACS), a UK-based tax transparent master fund, with a UK feeder fund.
The ACS structure was introduced in the 2013 Finance Act to help the UK to better compete as a fund domicile.
The new ACS master feeder structure will allow Equitile to offer investors an efficient investment structure that will enhance investment returns without creating additional complexity and cost, according to HSBC.
In addition to providing full support for Equitile’s ACS, HSBC will provide FX hedging services for Equitile’s currency exposures.
Andrew McNally, CEO of Equitile, said: “We firmly believe the combination of the ACS and master feeder is a blueprint for the asset management industry in the UK and will enable us to grow quickly and efficiently.”
“It was important for us to work with a partner with a proven track record of successfully bringing to market ACS fund structures, which was why we selected HSBC.”
Cian Burke, global head of securities services at HSBC, added: “The ACS structure helps our clients enhance returns by simplifying investment management.”
