The Bank of New York Mellon Selected for First Domestic JGB Tri-Party Collateral Agreement in Japan
October 24 2007 - 9:30AM
PR Newswire (US)
NEW YORK, Oct. 24 /PRNewswire-FirstCall/ -- The Bank of New York
Mellon, the global leader in asset management and securities
servicing, has been selected by Goldman Sachs Japan Co., Ltd
(Goldman Sachs) and Sumitomo Mitsui Banking Corporation (SMBC) to
serve as collateral agent for the first domestic Japanese
Government Bond (JGB) tri-party repurchase agreements in Japan.
This is the first time two Japan-based companies have utilized the
tri-party structure to complete domestic JGB repurchase agreements.
(Logo: http://www.newscom.com/cgi-bin/prnh/20071001/NYM012LOGO)
This new mandate spotlights a service used extensively by The Bank
of New York Mellon's customers based outside of Japan to support
the financing of a wide range of collateralized transactions,
including stock loans, derivative transactions, and equity and
fixed income repos, including foreign-held JGBs. Acting in its role
as intermediary between Goldman Sachs, as lender of securities, and
SMBC, as borrower, The Bank of New York Mellon maintains cash and
securities accounts, verifies collateral eligibility, marks to
market securities pledged as collateral, processes income and
provides daily reporting to both parties. "We expect rapid growth
in the tri-party collateral management arena in Japan, as
broker-dealers and investors increasingly recognize the economic
and risk management benefits of the tri-party structure. As our
business grows, we will continue to expand our team of local
experts to develop solutions for our clients' evolving needs," said
Art Certosimo, executive vice president and head of broker-dealer
services at The Bank of New York Mellon. "We are gratified to be
among pioneers Goldman Sachs and SMBC as we help develop and expand
the Japanese tri-party marketplace." The Bank of New York Mellon is
the leading provider of tri-party collateral management services,
servicing more than $1.5 trillion in tri-party balances worldwide.
The company has been conducting business in Japan for more than 30
years and the Asia-Pacific region for more than 50 years. The
company has 13 offices in 11 countries in the region. The Bank of
New York Mellon Corporation is a global financial services company
focused on helping clients manage and service their financial
assets, operating in 37 countries and serving more than 100
markets. The company is a leading provider of financial services
for institutions, corporations and high-net-worth individuals,
providing superior asset management and wealth management, asset
servicing, issuer services, clearing services and treasury services
through a worldwide client-focused team. It has more than $20
trillion in assets under custody and administration, more than $1.1
trillion in assets under management and services $11 trillion in
outstanding debt. Additional information is available at
http://www.bnymellon.com/.
http://www.newscom.com/cgi-bin/prnh/20071001/NYM012LOGODATASOURCE:
The Bank of New York Mellon Corporation CONTACT: Kevin Heine of The
Bank of New York Mellon Corporation, +1-212-635-1569, Web site:
http://www.bnymellon.com/
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