New Silk Road Investment Appoints Northern Trust to Provide Outsourced Trading Solutions

Rhea-AI Summary

Northern Trust (Nasdaq: NTRS) will provide outsourced trading solutions for New Silk Road Investment Pte , a Singapore-based investment manager. New Silk Road selected Northern Trust to address cross-border trading challenges in North America. The transition to T+1 settlement in the U.S., Mexico, and Canada poses challenges for Asia-based asset managers, prompting many to outsource trading functions. Northern Trust's Integrated Trading Solutions (ITS) platform offers comprehensive trading expertise in equities, fixed income, derivatives, and ETFs, aiming to lower costs, reduce risk, and enhance operational efficiency for asset owners and managers.

Positive

• New Silk Road Investment Pte has selected Northern Trust to provide outsourced trading solutions, demonstrating trust in Northern Trust's expertise.

• Northern Trust has been providing global custody services for New Silk Road funds since 2011, showcasing a longstanding partnership.

• Outsourcing trading functions to Northern Trust's ITS platform can help Asia-based asset managers navigate the challenges of the transition to T+1 settlement in North America.

• Northern Trust's ITS platform offers a wide range of trading capabilities across global markets, including equities, fixed income, derivatives, and ETFs, enhancing operational efficiency for asset owners and managers.

Negative

• None.

SINGAPORE--(BUSINESS WIRE)-- Northern Trust (Nasdaq: NTRS) today announced that it has been selected to provide outsourced trading via its Integrated Trading Solutions (ITS) for New Silk Road Investment Pte Ltd., a Singapore-based investment manager.

Founded in 2009, New Silk Road invests in Asian companies with the goal to achieve long-term returns. In addition to the new remit for trading services, Northern Trust continues to provide global custody services for New Silk Road funds which it has done since 2011.

“New Silk Road came to us looking for a solution to help navigate cross-border trading challenges amidst a changing market structure in North America,” said Yen Leng Ong, Country Executive, Southeast Asia, Northern Trust. “By enabling our client-centric solution approach, we determined that our ITS offering was the right fit to provide seamless integrated middle to back-office processing along with efficient trade execution. We look forward to continuing to build our relationship with New Silk Road to enhance their global trading needs.”

The transition to shortened settlement in the U.S., Mexico, and Canada on May 28 from trade date +2 (T+2) to trade date +1 (T+1) will present challenges for Asia-based asset managers who are heavily impacted due to time zone differences. Many managers have sought ways to smooth out that transition by outsourcing their trading functions.

“T+1 introduces significant market timing challenges to investors and managers in Singapore and New Silk Road has a strong understanding of the issues involved in this change,” said Gerard Walsh, Global Head of Client Solutions, Banking and Markets, Northern Trust. “Northern Trust is very pleased to be working with New Silk Road to ensure their US dollar execution, trade matching, clearing, settlement process, and trade-related foreign exchange are managed as a single lifecycle.”

Northern Trust’s outsourced trading capability combines worldwide trading expertise in equities and fixed income, exchange traded derivatives, futures and exchange traded funds (ETFs) across global markets. It provides coverage from multiple trading locations, access to high-quality liquidity and fully integrated middle and back-office service. The ITS platform helps asset owners and asset managers to meaningfully lower costs, reduce risk, manage regulatory compliance and enhance transparency and operational efficiency.

ITS is offered through Institutional Brokerage, a part of Northern Trust Banking and Markets which also provides foreign exchange, securities lending and transition management services.

About Northern Trust

Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of wealth management, asset servicing, asset management and banking to corporations, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 24 U.S. states and Washington, D.C., and across 22 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of March 31, 2024, Northern Trust had assets under custody/administration of US$16.5 trillion, and assets under management of US$1.5 trillion. For more than 130 years, Northern Trust has earned distinction as an industry leader for exceptional service, financial expertise, integrity and innovation. Visit us on northerntrust.com. Follow us on X (formerly Twitter) @NorthernTrust or Northern Trust Corporation on LinkedIn.

Northern Trust Corporation, Head Office: 50 South La Salle Street, Chicago, Illinois 60603 U.S.A., incorporated with limited liability in the U.S. Global legal and regulatory information can be found at https://www.northerntrust.com/terms-and-conditions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240507910716/en/

Media Contacts

Europe, Middle East, Africa & Asia-Pacific:

Camilla Greene

+44 (0) 20 7982 2176

Camilla_Greene@ntrs.com

Simon Ansell

+ 44 (0) 20 7982 1016

Simon_Ansell@ntrs.com

US & Canada:

John O’Connell

+1 312 444 2388

John_O’Connell@ntrs.com

http://www.northerntrust.com

Source: Northern Trust

FAQ

Why has New Silk Road Investment Pte appointed Northern Trust?

New Silk Road appointed Northern Trust to provide outsourced trading solutions.

What services does Northern Trust offer to New Silk Road Investment Pte ?

Northern Trust offers outsourced trading solutions and global custody services to New Silk Road Investment Pte

What challenges are Asia-based asset managers facing due to the transition to T+1 settlement in North America?

Asia-based asset managers are facing market timing challenges and seeking ways to smooth out the transition by outsourcing their trading functions.

What trading capabilities does Northern Trust's ITS platform offer?

Northern Trust's ITS platform offers expertise in equities, fixed income, derivatives, and ETFs across global markets to enhance operational efficiency for asset owners and managers.