SWEDEN - Forsta AP-Fonden, the SEK148bn (e16bn) first national Swedish pension fund (AP1), has appointed ABN AMRO Mellon bank as its global custodian.
The fund announced its decision to tender in February this year, citing the “need for a new benchmarking and pricing” as the reason for dropping Citibank, the scheme’s custodian for more than ten years.
ABN AMRO Mellon will be the sole provider of global custodian services including CLS, securities lending and trade matching, AP1 said.
The custody service will cover AP1’s total holdings, both domestic and non-Swedish.
AP1 spokesperson Nadine Viel Lamare said: “We have been assessing what [ABN AMRO Mellon] could provide in terms of services with high quality, a high degree of straight through processing as well as competitive pricing.
“These are the areas we focussed on in our process when we have evaluated the candidates and [ABN AMRO Mellon] were the ones with the best combination of the three.”
Commenting on the mandate win, ABN AMRO Mellon chief executive Nadine Chakar (pictured) said: “I’m ecstatic. We are very fortunate to have won this account, we are very pleased.”
Chakar welcomed AP1 as the bank’s first major client in the Nordic region.
“ABN AMRO Mellon is making great in-roads in the expansion of our geographic footprint in Europe,” she said.
“The Nordic region has been an important target of ours and for such a prestigious client to select ABN AMRO Mellon pays tribute to the great talent and efforts of our team.”
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