Corp. of London hands custody to ABN Amro Mellon
UK - The Corporation of London, the municipality for the City of London financial district, has awarded an 800 million-pound (1.1 billion-euro) custody mandate to ABN Amro Mellon.
The move means a loss for the incumbent Bank of New York. Ivan Royle, the bank’s European director of communications, declined to comment further.
"The Corporation of London has handed the custody of its extensive pension fund and privately held assets to ABN AMRO Mellon Global Securities Services," the joint venture said in a statement, adding that the funds in the Corporation's three funds amount to 800 million pounds.
The deal includes custody, investment accounting, performance measurement and commission recapture.
"Our primary objective was to ensure that our assets were held safely, by a committed provider," said Peter Derrick, the Chamberlain of London.
"Not only did ABN AMRO Mellon offer exceptional financial stability, but they equally stood out as a consistent leader in terms of service quality, flexibility and technological strength."
According to "International Pension Funds and their Advisors 2003", the Corporation's custody was previously provided by the Bank of New York.
"Our continued growth in the UK local authorities market is further endorsement of our expertise and strength in this sector," said ABN Amro Mellon chief executive Nadine Chakar. "We look forward to a long-term, mutually beneficial relationship with The Corporation of London."
ABN Amro Mellon is a 50-50 venture of ABN Amro and Mellon Financial Corp. The Corporation reviewed its custody in consultation with Thomas Murray, ABN Amro Mellon said.