UK – The £17bn (€24.6bn) Electricity Supply Pension Scheme has appointed the Bank of New York to supply commission recapture services, on top of other services the bank already provides.

Commission recapture aims to cut trading costs by rebating a part of trading commissions.

“The Bank of New York will add commission recapture to the suite of services it currently provides to ESPS, which include custodial services, investment accounting, compliance monitoring and reporting,” the bank said.

“The Bank of New York developed a flexible commission recapture programme in which each of our groups within the scheme can choose whether or not to participate,” ESPS finance director Peter Browne was quoted as saying in a Bank of New York release.

“We are looking forward to this extension of services from the Bank of New York to provide useful benefits for the participating groups.”

“Since extending its commission recapture service to European-based clients last year, the Bank of New York have witnessed a growing demand among pension funds for experienced providers capable of understanding the increasing complexities associated with today’s global markets,” said Jo Sellers, product manager for commission recapture services at BNY Securities.