Westpac has hired the Bank of New York and BNY Trust Australia (BNY) to act as a trustee for its $7 billion global residential mortgage backed securities (RMBS) product.
It's the bank's first transaction since the Regulation AB (REG AB) was introduced in the US. REG AB applies to overseas issuers wanting to enter the US asset-backed market.
"Due to their significant experience, we were happy to confirm BNY as the trustee. BNY's contribution assisted significantly in the timely execution of the deal," Westpac head of global funding and capital management Chris Bannister said.
BNY will act as a trustee for the US, Australian and Euro dollar parts of the transaction.
BNY was chosen because it is the only global trustee provider in the Australian debt capital market that is able to offer clients both local and offshore trustee services within one group, BNY Trust chief executive Mike Thomson.
BNY is a joint venture between the Bank of New York and the Trust Company. The business has 150 clients in Australia and manages about $81 billion in assets.
