Dutch asset manager Robeco has outsourced its fund accounting, operations, custody, depository, transfer agency and securities lending services to JP Morgan, the group announced today.
The changes, which are subject to regulatory approval, are aimed at making the group’s services more cost competitive, the process is set to take two years to be implemented and will result in 70 staff members of Robeco becoming redundant.
The group stressed that the outsourcing process will not lead to changes in investment policies and teams. Client portfolios will continue to be managed according to their investment policies by the responsible portfolio managers and portfolio management teams.
Gilbert Van Hassel, CEO of Robeco: “Outsourcing is the prevailing trend in the industry. As a consequence of the global playing field and increasing complexity, asset managers need a specialized operations provider with a global presence. Given the impact of this decision on our people, this is not a decision that we have taken lightly and we will implement the outsourcing with the greatest care for the people involved. However, we believe that outsourcing is a necessary step that will help us continue to deliver excellent service to our clients worldwide.”
Robeco Group, which is headquartered in Rotterdam was acquired by Japanese Financial Services Group Orix Corporation in 2013, and recently rebranded as Orix Corporation Europe. The outsourcing activities affect the group’s asset management arm, which as of September 207 managaged €152bn in assets and continues under the brand name Robeco.