SEI Launches New Depositary Services
SEI's recent move to launch depositary services marks a significant enhancement to its global offerings. This strategic development is aimed at supporting alternative investment funds (AIFs), especially in Luxembourg, which has established itself as the second-largest fund center worldwide.
Growth in Demand for Depositary Services
Over recent years, SEI has seen a notable surge in demand for depositary services. Assets managed in this segment have skyrocketed, from $17 billion in 2018 to an impressive $100 billion by 2024. This robust growth underlines SEI's reputation as a leading service provider, already managing depositary functions for over 430 funds across various fund centers.
The Importance of Luxembourg in Fund Management
Luxembourg has become a crucial hub for private equity and alternative investments. Given the growing complexities that asset managers face, the launch of these depositary services is timely. It allows SEI to offer a comprehensive suite that includes fund administration, regulatory reporting, and registrar services, establishing a streamlined point of contact for clients.
Insights from SEI's Leadership
Bryan Astheimer, Head of SEI's Investment Managers business in the EMEA region, commented on the launch: "As the appetite for alternative investments grows, it is vital for investment managers to enhance their market reach and diversify their capital sources. Our decision to launch services in Luxembourg reinforces our commitment to supporting our clients while ensuring compliance across various jurisdictions."
Comprehensive Service Offerings
SEI's depositary services in Luxembourg are not just an add-on; they are integral to assisting funds that focus on private assets. Key offerings include cash flow monitoring, ownership verification, safekeeping of assets, and ongoing oversight. These services can either be part of a broader fund administration package or offered independently, catering to the specific needs of fund managers.
Non-EU Managers Welcome
One significant advantage of SEI’s depositary services is that they extend to non-European Union managers. This means that managers aiming to market non-EU funds to EU investors can benefit from the suite of services offered under the Depo Lite Regime, aligning their operations with EU regulations.
Robust Global Infrastructure
With operational centers located in Oaks, PA, London, Dublin, and Luxembourg, SEI boasts a well-integrated platform. This operational network helps clients gain visibility into their data and the day-to-day management of their funds. Recently, SEI celebrated surpassing $1.5 trillion in alternative assets under administration, a testament to their growth strategy.
About SEI
Founded to bridge the gap in technology and investment solutions, SEI focuses on delivering invaluable support to the financial services sector. With an operational footprint covering diverse investment processes and asset management, SEI partners with various organizations—from corporate entities to ultra-high-net-worth families, managing around $1.6 trillion in assets as of September 30, 2024.
Frequently Asked Questions
What are SEI's new services in Luxembourg?
SEI has launched depositary services aimed at supporting alternative investment funds, enhancing its existing suite of services in the region.
How significant is the growth in depositary assets?
Depositary assets have seen tremendous growth rising from $17 billion in 2018 to $100 billion projected by 2024.
What benefits do these new services provide for asset managers?
The services offer a streamlined point of contact for various operational needs, including fund administration and regulatory compliance.
Can non-EU managers access these services?
Yes, non-EU managers can use SEI’s depositary services to market their funds to EU investors under specific regulatory frameworks.
What is SEI's market presence globally?
SEI operates across key global hubs, managing around $1.6 trillion in assets, providing comprehensive solutions tailored to various market demands.
