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Designing an End-to-End Asset Servicing Solution

Insights into how Northern Trust is working with Peregrine Wealth in Guernsey to support its growth journey across the spectrum of its asset servicing needs.

 

Client Background

The Peregrine Wealth1 journey began in 2000 when Peregrine Guernsey Limited was formed as the principal manager for the Guernsey-domiciled funds of a leading South Africa-based wealth manager. It invests on behalf of its clients and provides comprehensive advice across three business segments: Wealth Management, Asset Management, and Advisory.

Peregrine Wealth has been experiencing consistent growth in new business inflows which, coupled with a client retention ratio of 98% in the group’s wealth management business, has led to assets under management in the group’s Guernsey domiciled funds more than doubling in the last three years to £1.59 billion.2

In 2016 the management of investment operations was becoming complex and time consuming with six service providers and increasing costs of staffing and oversight. They decided to consolidate to a single provider to focus on efficiency and went out to five providers to evaluate the benefits of a consolidated service.

The Challenge

To  support the increasing complexities of its operations and its strategic growth plans, Peregrine Wealth required a broad range of capabilities including fund administration and accounting, transfer agency, custody, depositary, banking and credit.  They were also looking for an outsourced trade execution solution in addition to FX currency management to enhance operational efficiency and transparency while reducing risk. In addition, they needed a partner to guide them through the digital era as they considered themselves too small to manage technology challenges themselves. In their search for a partner, they sought:

  • A single provider with one relationship to govern
  • Broad capability and global trading footprint
  • Market access for efficient fund launches

The Solution

By partnering with Northern Trust, Peregrine Wealth is benefiting from an end-to-end solution across the spectrum of its asset servicing needs. Northern Trust’s Guernsey fund administration, transfer agency, custody, depositary, banking and credit services are complemented by Northern Trust Capital Markets’ FX currency management programme and front office outsourced trade execution service, Integrated Trading Solutions (ITS). ITS is providing:

  • Proven trading experience with skilled resources and extensive access to global markets, trading venues and liquidity
  • Seamless integration using advanced technology across trade execution, middle office, matching and settlement
  • Optimised variable costs supporting operational efficiency, risk management and the fulfilment of Best Execution obligations

Value Added

By deciding to partner with Northern Trust, Peregrine Wealth benefited in a number of ways beyond the functional and process capability, competitive commercial terms and risk management, specifically:

  • Speed to market with a single source custodian and focused service
  • Guidance every step of the way from an experienced and dedicated Northern Trust team
  • A truly partnerial approach delivering significant operational efficiency and flexibility supported by innovative technology

It’s refreshing to be with a single provider, reduce risk, and gain access to deep product expertise.

Hennie EsterhuizenManaging Director, Peregrine Wealth, Guernsey


About Northern Trust in Guernsey

As Guernsey’s largest fund administrator, custodian and transfer agent3, Northern Trust provides a full range of services to support some of the world’s most successful and innovative investment managers and institutional investors.

About Northern Trust Capital Markets

Northern Trust Capital Markets is comprised of a number of Northern Trust entities that provide trading and execution services on behalf of institutional clients, including foreign exchange, institutional brokerage, securities lending and transition management. Foreign exchange, securities lending and transition management services are provided by The Northern Trust Company (TNTC) globally, and Northern Trust Global Services SE (NTGS SE) in the EEA. Institutional Brokerage services including ITS are provided by NTGS SE in the EEA and Northern Trust Securities LLP (‘NTS LLP’) in the rest of EMEA and APAC and Northern Trust Securities, Inc. (‘NTSI’) in the United States.

 


1 Peregrine Wealth Limited and Peregrine Guernsey Limited are subsidiaries of the wealth management arm of the Peregrine Group. In May 2020, the Guernsey business was rebranded as Peregrine Wealth to better reflect its business and positioning as a strategic international wealth management business for the globally connected. www.peregrine.gg
2 Source: Peregrine Wealth as of 31 July 2021.
3 Source: As ranked in the Monterey Insight Guernsey Fund Report, 2020.

 


This marketing communication is issued and approved for distribution in the United Kingdom and European Economic Area by The Northern Trust Company, London Branch (‘TNTC’), Northern Trust Securities LLP (NTS LLP) or Northern Trust Global Services SE (‘NTGS SE’). TNTC is authorised and regulated by the Federal Reserve Board; authorised by the Prudential Regulation Authority; subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority. NTGS SE is authorised by the European Central Bank and subject to the prudential supervision of the European Central Bank and the Luxembourg Commission de Surveillance du Secteur Financier. NTS LLP is registered in England & Wales under number OC324323; registered office: 50 Bank Street, Canary Wharf, London E14 5NT; authorised and regulated by the Financial Conduct Authority; member of the London Stock Exchange.

This communication is provided for the sole benefit of clients and prospective clients of TNTC, NTS LLP and/or NTGS SE and may not be reproduced, redistributed or transmitted, in whole or in part, without the prior written consent of TNTC and/or NTGS SE. Any unauthorised use is strictly prohibited. This communication is directed to clients and prospective clients that are categorised as eligible counterparties or professional clients within the meaning of Directive 2014/65/EU on markets in financial instruments (‘MiFID II’) or in the UK, as amended by the Markets in Financial Instruments (Amendment) (EU Exit) Regulations 2018. TNTC NTS LLP and NTGS SE do not provide investment services to retail clients.

This communication is a marketing communication prepared by a member of the TNTC, NTS LLP or NTGS SE sales & trading departments and is not investment research. The content of this communication has not been prepared by a financial analyst or similar; it has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and it is not subject to any prohibition on dealing ahead of the dissemination of investment research.

This communication is not an offer to engage in transactions in specific financial instruments; does not constitute investment advice, does not constitute a personal recommendation and has been prepared without regard to the individual financial circumstances, needs or objectives of individual investors. NTS LLP does not engage in proprietary trading, and NTS LLP and NTGS SE do not engage in market making in securities or corporate advisory activities. NTS LLP and NTGS SE do not hold a proprietary position in any of the financial instruments or issuers referred to in this communication, unless otherwise disclosed.

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© 2021 Northern Trust Corporation. Head Office: 50 South La Salle Street, Chicago, Illinois 60603 U.S.A. Incorporated with limited liability as an Illinois corporation under number 0014019. Products and services provided by subsidiaries of Northern Trust Corporation may vary in different markets and are offered in accordance with local regulation. This material is directed to professional clients only and is not intended for retail clients. For Asia-Pacific markets, it is directed to expert, institutional, professional and wholesale clients or investors only and should not be relied upon by retail clients or investors. For legal and regulatory information about our offices and legal entities, visit northerntrust.com/disclosures. The following information is provided to comply with local disclosure requirements: The Northern Trust Company, London Branch, Northern Trust Global Investments Limited, Northern Trust Securities LLP and Northern Trust Investor Services Limited, 50 Bank Street, London E14 5NT. Northern Trust Global Services SE, 10 rue du Château d’Eau, L-3364 Leudelange, Grand-Duché de Luxembourg, incorporated with limited liability in Luxembourg at the RCS under number B232281; Northern Trust Global Services SE UK Branch, 50 Bank Street, London E14 5NT; Northern Trust Global Services SE Sweden Bankfilial, Ingmar Bergmans gata 4, 1st Floor, 114 34 Stockholm, Sweden; Northern Trust Global Services SE Netherlands Branch, Viñoly 7th floor, Claude Debussylaan 18 A, 1082 MD Amsterdam; Northern Trust Global Services SE Abu Dhabi Branch, registration Number 000000519 licenced by ADGM under FSRA # 160018; Northern Trust Global Services SE Norway Branch, 3rd Floor, Haakon VII's Gate 6, 0161 Oslo, Norway; Northern Trust Global Services SE, Leudelange, Luxembourg, Zweigniederlassung Basel is a branch of Northern Trust Global Services SE (itself authorised by the ECB and subject to the prudential supervision of the ECB and the CSSF). The Branch has its registered office at Aeschenplatz 6, 4052, Basel, Switzerland, and is authorised and regulated by the Swiss Financial Market Supervisory Authority FINMA. The Northern Trust Company Saudi Arabia, PO Box 7508, Level 20, Kingdom Tower, Al Urubah Road, Olaya District, Riyadh, Kingdom of Saudi Arabia 11214-9597, a Saudi Joint Stock Company – Capital 52 million SAR. Regulated and Authorised by the Capital Market Authority License # 12163-26 CR 1010366439. Northern Trust (Guernsey) Limited (2651)/Northern Trust Fiduciary Services (Guernsey) Limited (29806)/Northern Trust International Fund Administration Services (Guernsey) Limited (15532) Registered Office: Trafalgar Court, Les Banques, St Peter Port, Guernsey GY1 3DA. Northern Trust International Fund Administration Services (Ireland) Limited (160579) / Northern Trust Fiduciary Services (Ireland) Limited (161386),  Registered Office: Georges Court, 54-62 Townsend Street, Dublin 2, D02 R156, Ireland.