ZURICH: UBS provides the services in the fund administration in Luxembourg and Switzerland to Northern Trust Corporation.
An agreement to take over the corresponding units of UBS Asset Management was taken with the company listed on the Nasdaq , the Grossbank announced on Monday (20 Feb). The transaction is expected to be completed in the second half of 2017, subject to the approval of supervisory authorities and administrative boards of the funds. Financial details are not mentioned.
Northern Trust will manage around 420 billion Swiss francs with the completion of the transaction fund assets. These include the traditional funds of UBS Asset Management, which are currently funded by UBS Fund Management (Switzerland) AG or UBS Fund Services (Luxembourg) SA.
However, UBS customers would also be supported by their previous team of client advisors after the transaction. In addition, UBS Asset Management also offers fund management, white labelling and representation services.
With the takeover, Northern Trust could further expand its presence in Luxembourg and gain a foothold in fund management on the Swiss market. According to UBS, the US Company has been operating in Luxembourg since 2004, where it will enter the Top 10 of the largest fund service providers.
At UBS Asset Management, however, the business is being redesigned further in order to increase efficiency and effectiveness, according to Ulrich Körner, President of the Division. “With this move, we will be able to focus more on supporting our customers in global investment.”
