Citigroup Announces launch of Middle-and Back-Office Processing Platform for Separately Managed Accounts

December 1, 2004, New York – Citigroup Global Transaction Services, a unit of Citigroup (NYSE:C), announced today the launch of an advanced set of services for asset managers looking to outsource the operations of their separately managed accounts (SMA). Available in early 2005, these services are part of a larger, integrated suite of Asset Manager Solutions designed to meet the middle- and back-office outsourcing requirements of an asset manager.

Drawing upon its vast experience as a leading SMA sponsor and asset manager, Citigroup has designed its service offering from the vantage point of an asset manager and has integrated technology that best suits the manager’s retail portfolio management and trading needs. By providing a modular solution that automates services ranging from portfolio manufacturing process to sponsor connectivity, asset managers can choose from an array of services depending upon their operational needs. Using this technology platform, Citigroup enables asset managers to deliver customization, tax efficient management and investment restrictions monitoring, while enabling asset growth, improving compliance, and lowering costs.

Through a single, front-end, Citigroup’s separately managed accounts servicing solution includes:

  • Portfolio manufacturing and modeling
  • Tax-efficient management of portfolios
  • Multi-Sponsor connectivity
  • Automated account setup and maintenance
  • Automated tax optimization and restriction handling
  • Step-out trade management
  • Document imaging, archiving and workflow management
  • Account and trade reconciliation
  • Corporate action notification and reconciliation
  • Portfolio Accounting & Reporting
  • Portfolio Analytics and Risk measurement
  • Performance Measurement and sales reporting
Since the creation of Separately Managed Accounts in 1975, Citigroup has been an innovator in the growing market for this flexible investment product � a market that is expected to reach $2 trillion by 2011 according to the Money Management Institute. "As a leading player in the Separately Managed Accounts industry, we are in a unique position to understand the trading and operational requirements of both managers and sponsors. Through our expertise, experience and leading integration capabilities, we now have a comprehensive servicing platform to provide a scalable, cost-effective, end-to-end solution for clients," said Chandresh Iyer, Director and Product Manager for Fund Services with Citigroup Global Transaction Services.

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About Citigroup
Citigroup (NYSE: C), the preeminent global financial services company with some 200 million customer accounts in more than 100 countries, provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, insurance, securities brokerage, and asset management. Major brand names under Citigroup’s trademark red umbrella include Citibank, CitiFinancial, Primerica, Smith Barney, Banamex, and Travelers Life and Annuity. Additional information may be found at www.citigroup.com.

About Citigroup Global Transaction Services
Citigroup® Global Transaction Services is a leading provider of integrated cash management, trade, funds and securities services for corporations, financial institutions, intermediaries and governments around the world. With over $ 121 billion in average liability balances, more than $ 7.3 trillion in assets under custody and the largest proprietary branch network, Citigroup’s award-winning operating systems and Internet-based delivery channels enable clients to manage and monitor working capital and investments more efficiently, streamline transaction processing cycles, and re-engineer receivables and payment processes. Citigroup® Global Transaction Services provides clients with access to Citigroup’s full range of capabilities and solutions along with an on-the-ground presence and in-depth knowledge of more than 90 local markets. For additional information, see www.transactionservices.citigroup.com

Citigroup Global Transaction Services is part of Citigroup's global corporate and investment banking group, which provides complete financial solutions to corporations, governments and institutional investors in more than 100 countries. Award-winning businesses include corporate and investment banking, sales and trading, transaction services, commercial finance and insurance products. Additional information can be found at: www.citigroupgcib.com.

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