BNY Mellon expands global trustee service to domestic market in Korea
BNY Mellon has been granted full All Asset Trust License status in Korea to provide trustee services for the domestic market.
The All Asset Trust License complements BNY Mellon’s Money Trust License, growing its trustee services capabilities from money receivables trusts to intangible property rights.
The new license allows BNY Mellon to offer a suite of domestic issuer and related investor services, including the ability to offer alternative investment options on cash balances in asset backed securitisation (ABS) structures.
Gary Lew, BNY Mellon’s Asia Pacific head of corporate trust, says: “Asset backed securitisation structures are attractive to investors from a diversification standpoint, whether within the domestic market or for foreign investors investing into Asia. The broadening of our trustee services to offer a comprehensive suite of solutions further supports our commitment to the steadily developing Korean ABS market.
“The growth of the Korean ABS market has been accelerating since the Asset-Backed Securitisation Act was implemented in 1998. Korean issuers are using ABS structures not only as a lower cost tool to restructure maturing debt and secure liquidity, but also as an essential balance sheet tool that Korean lenders can use to convert loans to long term, fixed rate plans.”