Ask Experts Questions for FREE Help !
Ask
    ekinloc's Avatar
    ekinloc Posts: 1, Reputation: 1
    New Member
     
    #1

    Feb 23, 2007, 05:13 AM
    What is Custodian Banking?
    I have an interview at a custodian bank, but don't understand what it is, or what:confused confused "technology and international network" the bank uses to make money. Also why do other banks use custodian banks, and is it not dodgy to be "moving financial assets around the globe"? How ethical is custodian banking compared to retail banking?

    Thanks!
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
     
    #2

    Feb 23, 2007, 05:17 AM
    Custodian bank
    From Wikipedia, the free encyclopedia
    In finance, a custodian bank, or simply custodian, refers to a financial institution responsible for safeguarding a firm's or individual's financial assets. The role of a custodian in such a case would be the following: to hold in safekeeping assets such as equities and bonds, arrange settlement of any purchases and sales of such securities, collect information on and income from such assets (dividends in the case of equities and interest in the case of bonds), provide information on the underlying companies and their annual general meetings, manage cash transactions, perform foreign exchange transactions where required and provide regular reporting on all their activities to their clients. Custodian banks are often referred to as global custodians if they hold assets for their clients in multiple jurisdictions around the world, using their own local branches or other local custodian banks in each market to hold accounts for their underlying clients. Assets held in such a manner are typically owned by pension funds.

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Banking [ 3 Answers ]

Hi My husband to be. Is having a problem with getting a bank account . And we have paid the collection agency that we needed to pay . But it takes 30 to 90 days to fix. But we need the money now . I was wondering if he could sign th check over to me and I deposit it in my account. While the bank...

Banking information [ 2 Answers ]

Does the bnak have a responsibility to let a debtor know his account is frozen seems to me if that customer has been banking with the bank for a very long time someone would let that person know and again I do not understand how a creditor gets your banking information I thought banks would be...

Custodian Banking [ 1 Answers ]

Please can you give me a full explanantion of what "custodial banking" means? I need to answer this for a job interview, so as much information as possible please? Many Thanks

What does Custodian Banking mean? [ 1 Answers ]

I am applying for a job and, although full training will be given, they have indicated that I should know what custodian banking is. When I search the web I get loads of hits for banks that do custody banking but nothing explaining what it all means. Thanks Kathy

Banking overdraft [ 1 Answers ]

Three years ago I incured a large overdraft on my checking account through an error made by my bank. I went to the bank to open a GL account to pay the balance but never paid it off. What legal action can the bank take against me if I'm not at fault for the debt? Is there a statue of limitation?


View more questions Search