HSBC has been appointed the custodian and fund administrator for UK life and pension fund ReAssure to service £43 billion of its assets.
As part of the mandate, HSBC will provide custody services to £28 billion in assets after ReAssure’s £650 million acquisition of 1.1. million closed life insurance policies from Legal and General (L&G).
The bank will also act as the fund administrator of ReAssure’s shareholder book amounting to £15 billion in assets.
The assets under administration for both mandates comprise fixed income, private debt, interest rate and inflation swaps, global and emerging market equities, as well as cash and gilts.
HSBC has been servicing ReAssure since 2015 with a range of custody, fund administration, tax reporting, life fund accounting, cash management and FX Services, the bank stated.
As of the end of last year, HSBC held more than $8.5 trillion in assets under custody.
HSBC has been adding to its UK securities services business in order to win a greater share of UK fund managers and asset owners. In November, it hired three new sales executives to grow its UK buy-side sales team, and last month announced the launch of a UK transfer agency service to be supported by a new Edinburgh-based operation managing its back-office processing function.