Sumitomo Trust and Banking (Sumitomo Trust) has named Citi Securities and Fund Services (CSFS), a division of Global Transaction Services, as custodian bank in China. As per the agreement, CSFS will have to act as custodian for Sumitomo Trust’s Qualified Foreign Institutional Investor (QFII) program and provide relationship management, implementation and customer service support in China and Japan.
Sumitomo Trust has said that leveraging Citi’s relationships with regulators and its experience in QFII license processes, it became the first trust bank from Japan to receive QFII approval from the China Securities Regulatory Commission (CSRC). Due to its knowledge of the markets and Citi’s understanding of Sumitomo Trust’s business, the end-to-end time frame QFII license approval process was also significantly reduced.
Akira Inoue, senior manager, Global Product Management Office, Sumitomo Trust and Banking, said: “As the first Japanese bank to receive an approved QFII license, the appointment of an experienced and innovative custodian bank was a key priority for us. Through partnership and mutual understanding, we are extremely confident that Citi is the right choice for our QFII program.”
Harle Mossman, managing director and regional head of Investor Services, Securities and Fund Services, Asia Pacific, Citi, said: “We are extremely pleased to partner with Sumitomo Trust and to provide them with an unrivalled set of services and solutions for their QFII program. In winning this important mandate, our unmatched track record in providing services for the most progressive QFII participants continues to gain momentum.”
