BNY Mellon has received licence approval from the Securities and Futures Commission (SFC) for its new dedicated Hong Kong-based subsidiary to establish a separately managed accounts business.
The new subsidiary will introduce a separately managed accounts platform, which will be the first of its kind in Asia, and is expected to be launched later this year.
It is being specifically designed with Asian investors in mind and will be offered to a select group of private banks and other leading wealth management providers to enable them to better serve their high-net-worth individual clients.
"Separately managed accounts are a very effective way for professional wealth managers to deliver fully transparent, customised portfolios to their clients," says AJ Harper, president and chief executive officer of the new Hong Kong managed accounts subsidiary for BNY Mellon. "They provide individual investors access to investment portfolios which have previously been beyond their reach, and traditionally only available to institutional investors at high minimum thresholds.
"What will make our platform so unique to Asia-Pacific is that it will be the first open architecture offering that provides multi-manager and multi-currency portfolios at an entry level of less than USD1m per portfolio. By participating in our new platform, wealth managers will be able to offer customised investment solutions to their clients."
"We are making significant investments in Asia-Pacific to meet needs of individual and institutional investors in the region," says Steve Lackey, Asia-Pacific chairman, BNY Mellon. "The introduction of our new managed accounts business is a prime example of this long term commitment and how we are drawing from our global investment management and investment services expertise to deliver innovative solutions, specifically designed with the Asian investor in mind.
"We believe the growing wealth in the region has created a real need for this type of platform. We have a long and proven track record providing managed accounts services in the US, and we are thrilled to be able to say we are truly bringing a differentiated and exciting offering to Asia-Pacific by leveraging our managed accounts expertise at Pershing and other key areas across the firm."