Sun, Nov 29, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

J.P. Morgan expands prime custody service to hedge fund clients

Monday, December 05, 2011
Opalesque Industry Update: Less than a week after signifying that its banking division would cancel its hedge fund accounts, J.P. Morgan Chase has announced it is planning to expand its prime custody service to hedge fund clients of its European Prime Brokerage business using a fully integrated platform.

According to a report by Asset Servicing Times, J.P. Morgan’s prime custody service uses a bank custodial account that enables clients to separate securities. This also takes advantage of the firm’s prime brokerage offering capabilities that are delivered using a fully integrated product suite.

The integrated platform enables the swift movement of securities between custody and prime brokerage accounts, as well as consolidated reporting and a single client-facing technology. The platform offers a dedicated client service representative that supports all products.

J.P.Morgan’s global head of prime custody Devon George-Eghdami, said, “Our Prime Custody service has been supporting US hedge fund managers for over ten years and it is this experience that is invaluable in today’s market. We are focused on meeting the demands of hedge fund managers who seek a provider that offers flexible solutions, has a strong capital base and experience managing risk during volatile times.”

Last week, Barry Ritholtz’s Big Picture reported that JP Morgan’s business banking divisions had announced plans to terminate its service of providing any financials to its hedge fund or private equity customers.

The web site reportedly posted a letter from J.P. Morgan indicating that all of the accounts would be discontinued beginning December 19, 2011. The bank would send checks to clients after the said date, the report said.

Precy Dumlao

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Other Voices: Hedge fund marketing and the selling cycle[more]

    By Bruce Frumerman. How long is the selling cycle now? That’s a question my financial communications and sales marketing consulting firm has been asked on a regular basis by hedge fund firm owners and sales people, ever since we opened the doors to our firm in 1987 pre-crash. Wa

  2. People - Solus Alternative Asset Management adds chief strategist from BTIG[more]

    From Daniel Greenhaus joined hedge fund manager Solus Alternative Asset Management as managing director and chief strategist. He will work closely with Chris Bondy, Solus’ chief economist, managing director and executive vice president, said Chris Pucillo, CEO and chief investmen

  3. Opalesque Roundtable: Seeding deal terms can be onerous for hedge funds[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Executives from fund of funds firms, family offices, a placement agent, a private equity firm, and an accounting firm gathered in Connecticut last month for the

  4. Opalesque Roundtable: Family offices flock to co-investment[more]

    Bailey McCann, Opalesque New York: Co-investments have been a hot topic for pension funds in recent years, as they try to move away from high fees and improve transparency. But now, family offices are more readily getting into the mix and establishing in-house deal teams, according to the delega

  5. More institutional investors invest in CTAs compared to last year despite dissatisfaction with performance[more]

    Benedicte Gravrand, Opalesque Geneva: "Despite a strong start to 2015 for CTAs in Q1, commodity market conditions have made return generation difficult for fund managers over much of the rest of the year to date," says Preqin’s November