Citi has been awarded a mandate by fund administrator Apex Group to provide custody services and “streamlined operational processes” for Apex’s global asset management clients.
The arrangement, which is described as a strategic alliance, is the first time Apex has employed a global custodian although it will continue to use local sub-custodians in specific markets.
According to Apex, the alliance is intended to mean that Apex clients can access all their requirements to do with funds via one provider.
“Partnering with Citi to deliver custody services to our global client base will add great value to the Apex offering through the bank’s proprietary network and complementary global operational and service models,” said David Rhydderch, head of regulated product at Apex Group.
Rhydderch also said that Citi’s institutional capabilities “fit well with our ongoing growth trajectory and recently acquired banking and depositary services”.
Apex, which was founded in Bermuda in 2003, has made a number of acquisitions in the past two years, including the purchase of Deutsche Bank Alternative Fund Services in October 2017 and Ipes, a private equity administrator, in June 2018. These deals bolstered Apex assets under administration (AuA) to $560 billion making it the world’s fifth largest administrator by AuA, according to the firm.
The deal is the latest in a number of recent mandates for Citi, including an agreement to provide depositary services for Kames Capital’s UK fund range which manages €7 billion in asset. Citi also announced in November 2018 that it had launched direct custody and clearing services in Norway.
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