Custodian mandate agreement renewed between La Caisse and State Street
100 jobs created in Montréal's financial sector
MONTRÉAL, May 2, 2014 /CNW Telbec/ - Today La Caisse de dépôt et placement
du Québec announced the renewal of an agreement for the custodian services
with State Street ̶ the entity responsible for settling transactions and
safeguarding assets traded by La Caisse. State Street, a global financial
services leader, already serves as La Caisse's designated custodian, a role it
has played for 14 years. It will continue to use the services of Desjardins
Trust as sub-custodian of La Caisse's Canadian assets.
This agreement enables La Caisse to improve its efficiency and agility, reduce
costs and contribute to Québec's economic development. In addition to
generating significant savings, the agreement with State Street allows La
Caisse to continue to simplify its operational and technological activities.
Some of the main operational benefits achieved through the agreement include
faster updates of La Caisse's records and optimized banking transactions as a
result of improved cash flows, both as proposed by State Street.
100 jobs created in Montréal
As part of this agreement, State Street has committed to create 100
professional financial services jobs over the next year, practically tripling
its number of employees in Montréal. This talent pool will be concentrated in
a new Global Centre of Excellence in fund accounting that will help strengthen
high-level financial expertise in Montréal.
More direct access, both here and internationally
The level of service received will be enhanced through direct access to
specialists from the various business sectors of State Street and Desjardins
Trust and the physical presence of some of the custodian's representatives in
La Caisse's offices. The agreement will also allow La Caisse to leverage State
Street's strengthened international network in certain growing countries,
thereby facilitating investment activities in these countries.
For Bernard Morency, Executive Vice-President, Depositors, Strategy and Chief
Operations Officer of La Caisse, "renewal of this agreement reinforces our
operational agility and strengthens La Caisse's ability to meet its strategic
goals in Québec and around the world."
"With this agreement, La Caisse reaches another important milestone in its
operational re-engineering, aimed at transforming its technologies and
operations so that they will be better structured and more agile," said Pierre
Miron, Executive Vice-President, Operations and Information Technology of La
Caisse. "By continuing our business relationship with State Street, we rest
assured that we have a partner that is well aware of our priorities, and whose
vision is perfectly aligned with our business needs."
"We are delighted to expand our longstanding partnership of more than 20 years
with CDPQ," said Stephen Nazzaro, executive vice president of State Street
Corporation. "Our commitment to technology innovation allows us to partner
with our clients to help them achieve their strategic priorities." "We look
forward to strengthening our partnership with Caisse de dépôt as they grow
their business," added Rob Baillie, head of State Street's Global Services
business in Canada.
Rigorous bidding process
Eight firms responded to the bid launched last year and three firms were
selected as finalists. The proposals were then subject to a due diligence
process, in accordance with Caisse policies. Additional requests led the
finalists to review and adjust their respective service offerings. In the end,
State Street's proposal provided the best fit with La Caisse's requirements.
The agreement takes effect today.
ABOUT LA CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC
La Caisse de dépôt et placement du Québec is a financial institution that
manages funds primarily for public and private pension and insurance plans. As
at December 31, 2013, it held $200.1 billion in net assets. As one of Canada's
leading institutional fund managers, La Caisse invests in major financial
markets, private equity, infrastructure and real estate, globally. For more
SOURCE Caisse de dépôt et placement du Québec
Jean-Benoît Houde Senior Adviser, Media Relations 514 847-5493
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-0- May/02/2014 14:01 GMT
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