Bank of NY Forms Asset Management Outsourcing Venture

Bank of New York has joined with Accenture and several leading technology and financial services companies to create a company that offers a comprehensive outsourcing solution for the fund management community.

Called Encompys, the venture combines the technology, expertise, and financial resources of its participant investors to provide asset managers with the first fully integrated end-to-end straight-through processing (STP) outsourcing solution using a dedicated Internet portal.

With an STP-driven, T+1-settlement environment imminent in the United States and Japan, and likely as the de facto standard globally, the goal of Encompys is to offer asset managers an efficient, affordable and risk averse alternative to either building their own T+1-compliant systems or integrating separate components from various service providers.

Encompys combines the expertise of its four key partners: Accenture (consulting services); Bank of New York (trade execution, securities servicing support and master record keeping); Microsoft (system software and Internet portal applications); and Compaq (servers and related hardware).

By giving asset managers universal online access to a single point of entry for all pre-trade, trade and post-trade activities, Encompys enables them to focus on their core competencies of investment management and client relationships while reducing the time, cost and risk associated with the operation of securities trading and settlement.