Danske Invest switching custody bank in Denmark
Danske Invest, Danske Invest Select and Danske Invest Index are switching custody bank in Denmark from Danske Bank to J.P. Morgan. The migration will be carried out in April 2022 and will have no significance for you as an investor.
In 2020, Danske Bank reviewed its deliverables connected with custody services and asset management for Danske Invest in Denmark. The conclusion drawn was that asset management services could be supplied in a more appropriate way for both the bank and Danske Invest if the bank refrained from supplying custody bank services.
At the urging of Danske Bank and following a thorough selection process, Danske Invest has therefore appointed J.P. Morgan as its new custody bank. Danske Invest will continue to receive a number of administrative services from Investor Services at Danske Bank, just as Danske Bank will continue to be the advisor and distributor for most of Danske Invest’s funds.
What is a custody bank?One of the main duties of a custody bank is to ensure a high degree of investor protection. This is achieved through several different activities, from control of the fund’s cash flow and control and storage of the fund’s assets to conducting a number of general supervisory tasks.
J.P. Morgan is one of the largest global and Nordic providers of exactly these types of services and has long been present in the Danish market. When replacing Danske Bank as custody bank, J.P. Morgan will therefore be able to carry on the work of securing Danske Invest a solid platform that continues to support its broad product range to the benefit of the mutual fund’s investors.