Citi Awarded Mandate to Provide Custody and Collateral Management Services to Challenger
Sydney, Hong Kong - November 12, 2012 – Challenger Limited, Australia’s largest annuity provider and a top ten Australian fund manager, has appointed Citi to provide custody and collateral management services. Established in 1985 and listed on the Australian Stock Exchange in 1987, Challenger manages more than $35 billion across a range of asset classes through its Life division and a fiduciary Funds Management division.
“We were looking for a service provider that could meet our current and future operational needs,” explained David Mackaway, General Manager of Operations, Challenger. “With that support in place, we can devote more time to establishing ourselves in new products and new markets.”
Challenger will be using Citi OpenInvestorSM custody solution. The single platform which provides direct access to local experts through Citi’s proprietary local branch network was one of the deciding factors for Challenger. With operations in 60 markets covering 99% of the world’s equity market capitalization, Citi’s unrivaled network allows clients to respond faster to market events, enhance risk management and create significant processing efficiencies. Citi’s open architecture helps clients optimize the use of collateral and streamline the administrative and operational challenges of managing all types of collateral assets across multiple counterparties.
“The requirements around receipt and provision of custody data are getting ever more stringent,” commented Mackaway. “Citi’s proprietary on-the-ground network allows for more efficient processing and offered the shortest time frames for these, as well as direct access to market experts worldwide.”
“Citi is able to integrate its custody service offering with a range of other products and capabilities to meet the requirements of Challenger,” said David Edwards, Head of Sales and Client Engagement, Securities and Fund Services, for Citi Transaction Services in Australia. “We are delighted to have structured the right solution for Challenger both for now and as their business evolves. They are recognized as a leader in the Australian retirement space and we look forward to a long-term consultative partnership with them.”
David Russell, Regional Head, Asia Pacific, Securities and Fund Services, Citi Transaction Services, added: “As a leading provider of securities and fund services in the region, this mandate reinforces Citi’s commitment to support the needs of our investor clients, both internationally and in Australia – a market of strategic significance for Citi.”
Citi OpenInvestorSM is an investment services solution for today’s diversified investor which combines specialized expertise, comprehensive capabilities and the power of Citi’s global network to help meet performance objectives across asset classes, strategies and geographies. Citi provides complete investment services for institutional, alternative and wealth managers through middle-office, fund services, custody, investing and financing solutions focused on their specific challenges and customized to their individual needs. For more information, please visit openinvestor.transactionservices.citi.com.
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
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About Citi Transaction Services
Citi Transaction Services, a division of Citi’s Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network that spans more than 95 countries, Citi’s Transaction Services supports over 65,000 clients. As of the third quarter of 2012, it held on average $415 billion in liability balances and $12.8 trillion in assets under custody.