Citi Australia has announced a new strategic partnership with BetaShares to provide custody and fund administration services to the ETF manager.
BetaShares recorded a 50 per cent surge in assets under management this year, ahead of the 38 per cent growth for the ETF industry overall, and currently has the widest range of ETFs in the Australian market.
Citi said it had grown its ETF management suite to meet the needs of BetaShares and other ETF providers, particularly in response to increased adoption by institutional investors and greater ownership through self-managed accounts and model portfolios.
“With over $21 billion in assets under management, they are a leader in the category, and we look forward to working with them as they expand their market presence and grow their product suite for investors,” said Citi Australia head of markets and securities services Luke Randell.
“It is Citi’s goal to support ETF providers through their entire lifecycle, from market-making to execution, administration to reporting. We have designed a fully integrated front-to-back office service model to support BetaShares.”
BetaShares said it was delighted to be partnering with Citi during a period of growth for the ETF manager across a range of asset classes and investment exposures.
“Citi is uniquely placed to assist us to execute on our plans to expand our suite of investment solutions for our growing investor base,” said BetaShares CEO Alex Vynokur.
“We are confident in Citi’s ability to provide the required operational support towards our efforts to continually improve the experience for our investors.”
BetaShares most recently launched its Crypto Innovators ETF (CRYP), which smashed trading records with an estimated $8 million worth of trades within the first 15 minutes of its debut last week.
Citi said its custody and fund services business had welcomed 24 new clients in the past 18 months, with most transitioning as part of a client transfer agreement with Royal Bank of Canada from last year.
