J.P. Morgan has signed an agreement with Euronext Securities Copenhagen to become a direct participant in the Danish market.
Direct connectivity to the Danish market through the local central securities depositary (CSD) will help J.P. Morgan to drive its asset servicing presence in the Danish and Nordic markets.
The agreement reflects a growing trend of shortening the value chain between issuers and investors.
Across Europe, it is becoming more relevant for international players in the custody business to directly access local markets through direct connectivity with local CSDs, says Euronext.
There are obvious advantages of this for both custodians and the clients they serve, ranging from reduced costs, a shortened custody chain, enhanced transparency and operational efficiencies, it adds.
Anthony Attia, global head of primary markets and post-trade at Euronext, comments: “We have had a close relationship with J.P. Morgan for a number of years, and we are proud to bring this collaboration to the next level and support them in their role as an account controller on the Danish market. International investors now have a more direct and efficient access to €1.5 trillion of assets issued in the Danish capital market.”
Hannah Elson, head of global custody at J.P. Morgan, says: “We are excited to partner with Euronext Securities in providing direct market access in Denmark to our global clients. A shorter custody chain brings significant efficiencies and enhances the overall client experience. This move further strengthens our franchise and growth plans across the Nordic region and demonstrates our commitment to delivering efficient market access to global investors.”
