Under the new arrangement, Citi will provide custodial, fund accounting, unit registry and securities lending services to the Dimensional Australia funds.
Dimensional said the appointments will benefit its client base by improving fund accounting services, automation in unit registry systems, communication and costs.
“The market for back office services is a demanding one and client needs are changing,” Dimensional Australia chairman and chief executive officer Glenn Crane said.
“We need efficiency, responsiveness, technological sophistication, reliability and cost-effectiveness. And that means better services to our clients.”
Citi has already been providing middle office services to Dimensional since 2006.
The new appointment is the result of an extensive due diligence process in which end-client benefit was the leading factor.
“In this complex and competitive environment, it is important that the Australian asset management sector partner with an organisation that has a premium product suite and global reach,” Citi’s head of securities and fund services for Australia Martin Carpenter said.
"By appointing Citi, Dimensional is taking advantage of our comprehensive middle and back office services and global platform.”
