From September the EMX Message System will be able to route orders from UK fund distributors to Euroclear Bank’s FundSettle platform, providing access to fund promoters worldwide. As a result, UK fund distributors will be able to provide the option of investing in a wider selection of funds for their clients while continuing to use the existing EMX order-routing service.
International fund promoters, in turn, will have an automated channel to reach fund investors in the UK. The service providers said this new development will ease the often complex and costly process of cross-border fund transactions.
Distributors will have the choice to route their orders through the new service, and to direct their cross-border fund transaction orders to Euroclear Bank’s FundSettle platform, and their domestic UK fund transaction orders to Euroclear UK & Ireland, for settlement and asset servicing.
Andrew Butcher, chief operating officer from Charles Stanley & Co, said: “This is fantastic news for the UK funds industry. With this new link, we can maximise our current relationship with EMXCo and access an extensive range of funds promoted by all of the leading international product providers.
“Euroclear Bank and EMXCo have shown that combining two automated elements of processing infrastructure can unlock real benefits for both UK distributors as well as foreign-based promoters.”
