The Bank of New York (BoNY) has reached an agreement to buy RBS Trust Bank, the investor services business of The Royal Bank of Scotland. The deal, which is subject to due diligence and regulatory approvals, is ex-pected to close later this year, and will cost BoNY over £400m (e588m) if all the earn-out clauses are satisfied. Trust Bank is the second largest UK custodian behind Midland Securities Services, and has about £400bn under administration. Once the deal closes, BoNY will have nearly $6,000bn (e5,500bn) of assets under custody.

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