Northern Trust is expanding its fund administration and custody capabilities to support locally domiciled Hong Kong funds, including exchange-traded funds, as well as other regional investment funds.
For the newly launched service, Northern Trust will provide global sub-custody and fund administration services, including fund accounting and shareholder services, to asset managers looking to broaden their product and distribution base in the Asian region.
“We recognise the significant demand from investors, asset managers and regulators for local products in the Hong Kong and greater China markets,” says Camie West, head of global fund services in Asia for Northern Trust. “This service offering provides our asset manager clients with improved access to these markets through locally domiciled vehicles, coupled with Northern Trust’s fund administration expertise and proven global infrastructure.”
The Hong Kong funds will complement the global array of fund structures supported by Northern Trust, including UCITS funds in Europe and mutual funds and collective investment trusts in the US.
“Many successful international and local Asian managers are extending their product reach into all regions, and in particular there has been an increased focus on Asia for the distribution of funds,” says Paul Fahey, head of product and strategy for global fund services at Northern Trust. “We believe our expanded services can help both international and local Asian managers increase their assets under management. We are increasingly moving up the value chain, helping managers implement and execute effective cross-border distribution strategies to help them build their assets and scale quickly.”
Northern Trust’s Global Fund Services unit provides fund administration and investment operations outsourcing solutions to more than 450 asset managers across the globe. It supports diverse fund structures across multiple domiciles and jurisdictions and has expertise in traditional and alternative investment vehicles.