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BNP Paribas to offer Colombian custody services
16 September 2013
First European bank to offer local custody services in the country
BNP Paribas Securities Services has announced it will offer custody services in Colombia, having secured an operating licence from the country's financial regulator, the Superintendencia Financiera de Colombia (SFC).
As a local custodian, BNP Paribas will be able to provide post-trade services to financial institutions in the country, such as international banks and investors, as well as supporting Colombian and wider Latin American banking and investment expansion.
Claudia Calderón, head of BNP Paribas Securities Services Colombia said: “This launch is an important milestone in our commitment to helping our clients understand the landscapes of, and maximise their investment opportunities in, their most important destination markets.
“It also opens up the possibility for us to help locally based investors tap the global financial markets via our global custody network and multi-market expertise.”
BNP Paribas noted that it was the first European banking group to establish a presence in the country, which until now has been serviced only by American providers.
Colombia recently introduced a law that requires all local investors to appoint a local custodian – BNP Paribas said this would provide strong growth opportunities, and added the establishment of a dedicated custody service would allow the bank to reduce its reliance on third-party custodians.
Calderón added: “Latin America faces exciting challenges in creating an integrated market to generate investment opportunities for investors. With the developments around Integrated Latin American Market (MILA) taking shape, BNP Paribas’ experience with multi-country exchanges in other parts of the world, such as Euronext, puts us in a great position to share best practice and help investors make best use of these initiatives.”