Citi Appointed by the Federal Home Loan Bank of New York to Provide Custody and Portfolio Administration Services
New York - October 11, 2011 – Citi today announced that it has been appointed to provide a comprehensive range of custody and portfolio administration services to the Federal Home Loan Bank of New York (HLB), as securities safekeeping agent for its members. Additionally, the HLB will utilize Citi’s proprietary platform to deliver white-labeled settlement and safekeeping services to its member banks. Citi will also provide portfolio accounting for HLB’s proprietary investment assets.
Financial institutions are undergoing a rigorous review of costs and processes, and are looking to streamline resources to focus on core functions and delivering service to their clients. Rather than undertaking an in-house build, the HLB will leverage Citi’s extensive connectivity to markets, modular capabilities and specialized expertise to deliver white-labeled services for their clients.
"We are pleased to enhance services to our member banks by partnering with Citi to provide an efficient, cost-effective way to handle securities settlement and safekeeping," said Paul Héroux, Senior Vice President and Head of Member Services, Federal Home Loan Bank of New York. "Citi’s scale and robust technology platform will allow us to deliver advanced custody services while helping us to create efficiencies and reduce operational risk."
Citi provides a full range of enhanced custody services that are adapted to client needs for efficiency, transparency and risk management. Clients have the flexibility to establish custody accounts at the segregated level or in an omnibus structure.
"We are delighted to have been selected by the Federal Home Loan Bank of New York to expand our long-standing relationship," said Chandresh Iyer, Head of Investment Administration and Global Custody Services, Securities and Fund Services, Citi Global Transaction Services. "Citi’s complete range of enhanced custody services will assist FHLB New York in transforming the way it provides safekeeping services to its member banks."
Through its Securities and Fund Services business, Citi’s industry-focused experts provide institutional investors worldwide with tailored solutions delivered through proven global platforms that feature modular, open architecture. With $13.5 trillion of assets under custody and the industry’s largest proprietary network, clients can leverage Citi’s local market expertise and global reach to extract value across the entire investment value chain.
Global 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 100 countries, Citigroup’s Global Transaction Services supports over 65,000 clients. As of the second quarter of 2011, it held on average $365 billion in liability balances and $13.5 trillion in assets under custody.
Citi, the leading global financial services company, 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. Additional information may be found at www.citigroup.com.
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About the Federal Home Loan Bank of New York
The Federal Home Loan Bank of New York ("HLB") helps community lenders in New Jersey, New York, Puerto Rico and the U.S. Virgin Islands advance housing and community growth. The HLB is part of the congressionally chartered, nationwide Federal Home Loan Bank System which was created in 1932 to provide a flexible credit liquidity source for member community lenders engaged in home mortgage and neighborhood lending. The HLB increases the availability of mortgages and home finance to families of all income levels by offering high-value finance, correspondent and cash management services to assist our customers in more effectively serving their neighborhoods and meeting their Community Reinvestment Act responsibilities. For further information, visit www.fhlbny.com.