Pershing Limited, an affiliate of Pershing and a unit of The Bank of New York Mellon, has launched Nexus Funds, an innovative, no-transaction fee mutual fund solution that provides clients with a single access point to global funds.
Through Nexus Funds, private client wealth managers can buy and sell a variety of global funds. Dealing and settlement fees, in addition to custody fees on new assets, are waived for eligible deals in UK-registered funds that utilise the solution. These deals also benefit from guaranteed contractual settlement and consolidated trailer fee payments, ensuring predictable settlement dates and streamlining clients' payment processes.
Nexus Funds is fully integrated with Pershing Nexus, a browser-based platform that provides a whole of market offering with integrated execution, settlement and custody services across all major instrument types including fixed income, equities, foreign exchange and funds.
Clients will also benefit from Pershing's FIX connection to the EMX Message System, developed by EMXCo., the market infrastructure of choice for funds messaging. The message system automates fund processing and in July 2007 routed over 1.7 million messages, equating to over euro 6 billion in funds flow. The EMX Message System enables Nexus Funds to offer straight- through processing of mutual fund orders, enhancing deal accuracy and leading to more predictable settlement cycles. Clients can also take advantage of specially developed Pershing Nexus order-entry screens which eliminate the need to issue separate instructions to each fund company and provide an audit trail of fund orders.
Charles van der Merwe, chief executive officer of Pershing Limited, said, "With Nexus Funds, not only is fund dealing faster and settlement dates more predictable, but the costs and errors typically associated with fund transactions are dramatically reduced. We are delighted that New Star, Newton, Rensburg Fund Management and Schroders are among the first fund managers with funds available through the solution. We are in final discussions with many other industry-leading fund companies to provide our clients with a fast, cost-effective way of accessing a broad spectrum of global markets through UK-registered funds."