Citi Launches New Dynamic Allocation and Fund Order Processing Service

Rhea-AI Summary

Citi (NYSE: C) has launched a new Dynamic Allocation and Fund Order Processing service for advisor clients. This service automates cash allocation across various funds and streamlines order processing with fund providers. Clients can send orders via standard messaging, and Citi will enhance these orders with additional details before routing them. The initiative aims to reduce errors and simplify client connections with numerous fund providers. This service complements Citi's suite of middle and back office solutions designed to enhance operational efficiency and client focus on growth.

Positive

• The new service automates cash allocation and order processing, enhancing efficiency for advisory clients.
• Reduces the need for clients to connect with multiple transfer agents, minimizing errors in fund orders.
• Supports all major markets and covers various fund types, both regulated and private.
• Part of Citi's broader enhancement of middle and back office services, displaying commitment to innovation.

Negative

• None.

Citi (NYSE: C) launched a new service for advisor clients that will automate the allocation of cash across a range of funds and manage all aspects of order processing between advisor clients and fund providers.

With Citi’s Dynamic Allocation and Fund Order Processing service, a client can send an order via industry standard or proprietary messaging to Citi who would supplement the order with additional information, such as account and routing information, before sending it to the fund’s order processing provider. Alternatively, a client can stipulate a cash allocation model, and Citi will dynamically generate and route orders to the funds specified.

“Having a single service for the allocation and placement of fund orders will be a distinctive benefit for clients of this new service,” said Pervaiz Panjwani, EMEA Head of Custody and Fund Services at Citi. “It means avoiding the necessity for a client to establish connections across a broad universe of transfer agents and order handling providers. It can also mean a reduction in costly errors when allocating orders across multiple funds.”

Citi’s Dynamic Allocation and Fund Order Processing will handle the requirements for settlement and trade communication of all custodian banks, administrators and relevant parties. The service will be available in all major markets where permitted by local regulations and will cover all available fund types, both regulated and private funds.

“We are pleased to introduce this latest enhancement to our suite of middle and back office services,” said Sanjiv Sawhney, Global Head of Custody and Fund Services at Citi. “Dynamic Allocation and Fund Order Processing helps clients spend more time on activities that drive growth by connecting them to the various market participants and to a broad range of investments. The service was designed in line with Citi’s forward-thinking, provider-agnostic approach to many of our middle and back office services.”

Citi announced the introduction of other middle and back office solutions such as multi-slot investment book of record (IBOR) and Citi Velocity Clarity, its data and analytics platform. Both solutions are compatible with the new Dynamic Allocation and Fund Order Processing service.

With over $24.9 trillion¹ of assets under custody and administration and the industry-leading proprietary network spanning over 60 markets, Citi Securities Services provides clients with in-depth local market expertise, advanced processing technologies and a wide range of custody and fund services that can be tailored to meet clients’ needs.

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About Citi

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. Additional information may be found at www.citigroup.com | Twitter: @Citi | YouTube: www.youtube.com/citi | Blog: http://blog.citigroup.com | Facebook: www.facebook.com/citi | LinkedIn: www.linkedin.com/company/citi

¹ as of Q3 2020

View source version on businesswire.com: https://www.businesswire.com/news/home/20210125005043/en/

FAQ

What is Citi's new Dynamic Allocation and Fund Order Processing service?

Citi's new service automates cash allocation across funds and streamlines order processing for advisor clients.

How does Citi's new service benefit clients?

It minimizes errors in order allocation and reduces the need for clients to connect with multiple fund providers.

When was the Dynamic Allocation and Fund Order Processing service launched?

The service was recently announced by Citi, enhancing their suite of middle and back office services.

What types of funds does Citi's new service cover?

The service is designed to support all major markets and includes both regulated and private funds.

What other services has Citi introduced alongside this new offering?

Citi has also launched a multi-slot investment book of record (IBOR) and Citi Velocity Clarity, a data and analytics platform.