SSGA completes migration of its SPDR ETFs to Euroclear Bank
23 April 2018 Brussels
Image: Shutterstock
State Street Global Advisors (SSGA) has completed the migration of all of its Standard and Poor's depositary receipt (SPDR) Irish-domiciled exchange-traded funds (ETFs) to Euroclear’s international central securities depository (ICSD) model.
SSGA has transitioned the remaining 62 ETFs under the SSGA SPDR ETFs Europe I & II classification to Euroclear’s ICSD model.
The related transactions will settle directly in Euroclear Bank. The first portion of SSGA’s SPDR ETFs migrated into Euroclear’s international issuance structure in December 2014.
According to Euroclear Bank, its international structure for ETFs brings increased efficiency to a process that had previously only been supported by fragmented domestic market practices across Europe.
Mark Harris, a capital markets strategist for SPDR ETFs, said: “The international ETF model providers a centralised issuance and post-trade environment that removes much of the fragmentation seen under the domestic model for our multi listed products.”
He said: “We believe the model will, over time, deliver a number of key benefits for our market participants whilst providing a solid platform for the continued growth of our European ETF business. We are pleased to be at the forefront of this infrastructure evolution and we look forward to continuing our partnership with Euroclear Bank and driving further efficiencies for our end investors.”
Mohamed M’Rabti, deputy head of FundsPlace at Euroclear, commented: “SPDR were the first to migrate to our international ETF structure and we are proud they have continued the journey with us to this final migration.”
He added: “Having all SPDR ETFs on the ICSD platform will allow SSGA’s clients to benefit from all the features of the model, such as securities lending, multi-currency settlement and longer settlement windows.”
SSGA has transitioned the remaining 62 ETFs under the SSGA SPDR ETFs Europe I & II classification to Euroclear’s ICSD model.
The related transactions will settle directly in Euroclear Bank. The first portion of SSGA’s SPDR ETFs migrated into Euroclear’s international issuance structure in December 2014.
According to Euroclear Bank, its international structure for ETFs brings increased efficiency to a process that had previously only been supported by fragmented domestic market practices across Europe.
Mark Harris, a capital markets strategist for SPDR ETFs, said: “The international ETF model providers a centralised issuance and post-trade environment that removes much of the fragmentation seen under the domestic model for our multi listed products.”
He said: “We believe the model will, over time, deliver a number of key benefits for our market participants whilst providing a solid platform for the continued growth of our European ETF business. We are pleased to be at the forefront of this infrastructure evolution and we look forward to continuing our partnership with Euroclear Bank and driving further efficiencies for our end investors.”
Mohamed M’Rabti, deputy head of FundsPlace at Euroclear, commented: “SPDR were the first to migrate to our international ETF structure and we are proud they have continued the journey with us to this final migration.”
He added: “Having all SPDR ETFs on the ICSD platform will allow SSGA’s clients to benefit from all the features of the model, such as securities lending, multi-currency settlement and longer settlement windows.”
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