Contract to Nykredit and BNY
Nykredit and BNY Mellon win tender for LD's DKK 50bn custodian bank activities
Following a comprehensive EU tender, LD awards contract on custodian bank activities and administration of LD's professional investment fund to Nykredit and BNY Mellon
Following a comprehensive EU tender regarding LD’s custodian bank activities and investment fund administration, LD has awarded Nykredit Portefølje Administration the contract for the day-to-day administration of LD's DKK 50bn investment fund solution, while Nykredit Bank in cooperation with BNY Mellon was awarded the task of custodian bank.
LD has planned and implemented a tender process within the EU with high requirements exceeding ordinary service standards. “Competition was tough and LD received highly competitive offers. We are pleased to award the contract to Nykredit Portefølje Administration, which during the tender process submitted very convincing documentation of their sophisticated solutions for institutional investors such as LD”, says Lars Wallberg, CFO of LD.
“You could say that we have set the bar very high by requiring a number of additional services in addition to statutory requirements. I believe that we will have the market's best online tools for our investment team. The solution offers the advantage that we will be able to phase out our existing portfolio management securities system entirely and thereby reduce our overheads”, he adds.
“We are proud to have have been selected in such a broad process at EU level. As a Danish-based provider, we have demonstrated that we can win in direct competition with the best in Europe. This is the most thorough, detailed and professional tender process we have taken part in to date”, says Jim Isager Larsen, Managing Director of Nykredit Portefølje Administration, which covers just more than one third of the Danish market.
“Nykredit Bank will act as custodian bank subject to the statutory control function requirements on behalf of the investment fund. As part of the solution for LD the bank has opted to outsource the actual custodian bank functions to BNY Mellon. BNY Mellon’s global organisation, technology and processes will support LD’s day-to-day operations directly in a highly client-focused fashion”, says Frank Froud, Head of Europe, Middle East & Africa, Asset Servicing at BNY Mellon.
In January 2011 LD reorganised its entire portfolio of listed assets into a new structure under The Professional Association LD (PLD), and at the same time eight Danish and global asset managers took over the investment management services in various asset classes. Nykredit Portefølje Administration will collaborate closely with the asset managers with regard to investment mandate, reporting, etc.
Contact:
Lønmodtagernes Dyrtidsfond, CFO Lars Wallberg, tel: +45 33368940/+45 23441940
Nykredit Portefølje Administration, Managing Director, Jim Isager Larsen,+45 44559152/+45 24265164