UK - Custodian HSBC Securities Services is in talks to acquire Gartmore Investment Management's back-office systems and staff.
HSBC said the proposed acquisition was part of a bid to boost its global securities services business, through both organic growth and key acquisitions.
And Gartmore said if the deal went ahead, it would free it to focus its efforts on fund management and client servicing.
If the deal – which is subject to final negotiations and a staff consultation period – goes ahead, HSBC will take on approximately 105 of Gartmore’s staff as well as its back-office systems.
Additionally, it will provide Gartmore with transaction processing, foreign exchange, custody, portfolio and fund accounting, and performance measurement services.
HSBC believes the migration of work will be completed in early 2005. Head of securities services, Europe, Mike Martin said: “Our securities servicing business is a very important part of HSBC and one for which we plan major growth over the coming years, both organically and by way of ‘lift out’ transactions.
“We are delighted to have been chosen by Gartmore to support its business.
“This arrangement will enable us to leverage Gartmore’s high quality operations, and related technology teams and systems, to strengthen our outsourcing proposition to the European investment management industry.”
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The Transfers and Re-registration Industry Group (TRIG) has given its support to an initiative which aims to complete occupational pension transfers within three weeks.
Scottish Widows has completed a bulk annuity deal for the Hitachi UK Limited Pension Scheme.