NETHERLANDS - Two Dutch pension funds - Stichting Bedrijfstakpensioenfonds voor de Suikerverwerkende Industrie and Stichting Bedrijfspensioenfonds voor de Suikerwerk- & Chocoladeverwerkende Industrie - have hired BNY Mellon Asset Servicing as custodian for a combined €1bn (US$1.37bn) in assets.
BNY will also provide investment accounting, performance measurement, passive currency overlay and Dutch regulatory reporting services.
Employer chairman of the board of trustees at the Bedrijfspensioenfonds Suikerwerk en Chocoladeverwerkende Industrie fund Joanne de Graaff said: "Our decision to work with BNY Mellon was based not only on their very impressive track record for providing the highest quality of custody services to Dutch pension funds, but for their flexibility to accommodate our specific requirements and business objectives."
In December Pensioenfonds Horeca & Catering hired BNY Mellon as custodian for its €2.8bn portfolio. (Global Pensions; December 9, 2009)
BNY head of Europe, Middle East and Africa Nadine Chakar said: "Proposed changes by the Dutch central bank are increasing the pressure on pension funds for greater transparency and robust risk management controls in respect of their investments. We are committed to working on behalf of our Dutch clients in the months and years ahead to ensure they meet all new regulatory requirements, increase the effectiveness of their operations and minimize exposure to risk."
In December, De Nederlandsche Bank said it planned to strengthen risk management at Dutch pension funds after a review of the system found trustees paid inadequate attention to the governance and management of investment risks. (Global Pensions; December 17, 2009)
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