The two banks already have a strong shared custody arrangement. 

“NAB Asset Servicing is the largest custodian in the Australian market, backed by the strength of NAB’s AA-rating, with a great deal of experience and a strong capability in domestic service,” Christine Bartlett, executive general manager of NAB’s asset servicing business said.

“Building on our custody relationship and entering into a new alliance with BNY Mellon, who is the largest global custodian in the world, will help us support our clients in Australia and New Zealand to achieve their growth ambitions.”

BNY Mellon believes that the established relationship between the two banks will enable them to integrate their offering to Australian clients relatively easily.

“Our two companies have enjoyed a strong relationship for almost two decades. Accordingly, we know each others' organisation and culture well. We believe that together we have a compelling offering which can provide local capabilities for our global clients in Australia, and world-class capabilities for Australian investors globally,” Mr Samir Pandiri, chief executive officer at BNY Mellon’s asset servicing business said.

Through the alliance, the New York-based firm aims to exploit the potential opportunities in the Australian market as it matures. 

“Australia has long been an important market for BNY Mellon’s asset management and investment services businesses, largely a reflection of the continuing growth in superannuation savings,” Danny McGrady, country executive for Australia at BNY Mellon stated.

“This alliance with NAB is another step in our long-term commitment to Australian investors and enhances our position with the institutional market.”