State Street Corporation has announced it will provide depositary bank services to the main two pension schemes of the Monte dei Paschi bank in Italy.

The schemes hold a combined total of approximately €2bn in assets, reportedly making this one of the largest pension mandates to be awarded in the Italian market so far this year.

Specifically, State Street will provide services for the Cassa di Previdenza aziendale scheme and Complementary Pension Fund -  both which are for employees of Monte dei Paschi di Siena.

"We chose State Street because its global scale and local market expertise can offer the highest quality of depositary services as well as support our current and future needs," said Angelo Dringoli, chairman of Monte dei Paschi Pension Funds.

Riccardo Lamanna, managing director and head of State Street's Global Services business in Italy said: "The Italian pension funds system is undergoing dramatic regulatory changes, including the transition to the new Commissione di Vigilanza sui Fondi Pensionications requirements. We are committed to delivering innovative solutions to support Italian pension funds with these upcoming market developments and are delighted to have been selected by two of Monte dei Paschi Bank's pension funds."

According to its latest accounts, State Street currently has $22.4 trillion in assets under custody and administration, and roughly $1.9tn in assets under management.

First published 03.08.2012

azeevalkink@wilmington.co.uk