Investec Ernst & Company, the New York-based division of South African banking group Investec, has sold its correspondent clearing business to Fiserv for an undisclosed sum.
Investec Ernst currently has 20 staff servicing more than 80 correspondent clearing relationships. The 2002 revenues from this business are projected at approximately $20 million.
Leslie Muma, president and CEO of Fiserv, says: "This expansion of our client base through additional institutional broker-dealers brings added depth to our securities processing business. In addition, we're gaining processing volumes, which is key to success in this industry sector."