GERMANY - KAS Bank, which offers wholesale security services in its native Netherlands as well as the UK, has recently opened a Depotbank in Germany.
Based in Wiesbaden, the new Depotbank, or custodian, has already taken over seven funds, including one by Germany's Postbank, since it launched at the beginning of June.
Jörg Sittmann, managing director of KAS Bank in Germany, said the move built on the company's position as a European specialist, with a further 10 funds expected to transfer to KAS by the end of 2010, pending authorisation by German regulator BaFin.
Sittman said: "In 2011, we expect more growth, with third-party KAGs and other mandates, which we will acquire."
He added that it would increase the volume of funds under custody by €1bn.
Sittmann explained that expanding its business in Germany was a logical step for a Dutch company, not only because of the close ties between the countries.
"KAS Bank has a market share of about 30% in the Netherlands, and so there was a need to grow the company into bigger economies," he said, citing the UK, where the company began trading in the 1990s, and more recently Germany.