Legal & General Investment Management has selected Euroclear UK & Ireland’s CREST investment fund service to automate settlement for its UK investment funds.
As part of the deal, Legal and General will benefit from full automation of settlement for its UK investment funds.
The CREST investment fund service delivers end-to-end automation from order placement to settlement and asset servicing.
It reduces operational and counterparty risks, improves liquidity management and ensures certainty of settlement.
In addition, clients benefit from clear visibility of their settlement obligations and are able to manage cash flows effectively and efficiently.
According to Euroclear, the funds industry has seen increased inflows into mutual, alternative and money market funds as well as exchange-traded funds resulting in a need to remove the operational burden from the settlement process.
Honor Solomon, head of retail, Europe, the Middle East and Africa distribution, Legal & General
Investment Management, said: “We are pleased to create greater efficiencies for our clients through the implementation of a fully-automated settlement system that also further improves their overall service experience with Legal & General Investment Management.”
Stephan Pouyat, global head of capital markets and funds, Euroclear, added: “We are delighted that Legal & General Investment Management has chosen our service, which has seen real momentum, gaining important market traction. We are committed to providing clients with a simple, reliable and fully automated solution for fund order routing and settlement. The resulting operational efficiencies reduce risk and save costs, helping with the transition of the UK fund market to a true delivery versus payment model.”
