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Global Custody Pro - 05 September 2025

Global Custody Pro - 05 September 2025

State Street, ASX, SS&C, US Bank resume crypto custody and more

Global Custody Pro
September 04, 2025 • Reading Time: 8 minutes

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Welcome to Global Custody Pro, read by custody professionals like you. I'm Brennan McDonald, Managing Editor. I write about the global custody industry, having spent over 12 years in financial services, including working at a global custody bank. An AI voice reads the audio version of this newsletter. Have feedback? Just reply to this email or connect with us on LinkedIn.

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ASX CEO Addresses ASIC Inquiry at Investor Conference

ASX Limited CEO Helen Lofthouse used the company's CEO Connect Conference to address regulatory scrutiny and operational challenges facing the exchange operator. Speaking to investors on September 2, Lofthouse confirmed ASIC's wide-ranging compliance assessment will examine ASX's governance, capability and risk management frameworks, with an expert panel expected to deliver findings by March 2026.

The CEO maintained that CHESS replacement testing is progressing with "good levels of engagement" from approved market operators, with code for accreditation delivered last month ahead of the targeted Q4 fiscal 2025 launch. However, Lofthouse acknowledged significant operational shortcomings, telling the conference that ASX is "not where we want to be in terms of operational risk management and resilience" and has implemented the ACCELERATE programme to prioritise improvements.

Lofthouse directly addressed recent operational failures at the conference, apologising for an incident where ASX incorrectly cross-referenced TPG Telecom's ticker to another company's announcement, calling the error "very disappointing" and acknowledging how mistakes "can be very disruptive." On competitive dynamics, she told investors that Cboe Australia's planned entry into corporate listings adds to an already "intensely competitive" landscape where Cboe has competed in cash equities for 12 years. The CEO highlighted growing demand for ASX's data offerings, particularly from AI-driven trading strategies and new fixed income data products from the Austraclear platform.

State Street Partners with Apex Fintech

State Street and Apex Fintech Solutions announced a strategic partnership on September 3 that includes a minority investment by State Street into Apex, though financial terms were not disclosed. The companies will develop a digital custody and clearing platform to expand State Street's services to the global wealth management industry, targeting wealth advisors and self-directed wealth platforms.

The partnership combines State Street's institutional infrastructure and global client base with Apex's modern, API-driven digital wealth solutions. Apex currently powers investing infrastructure for more than 200 clients and 22 million brokerage accounts holding over $200 billion in assets worldwide. State Street brings $49 trillion in assets under custody and/or administration and $5.1 trillion in assets under management as of June 30, 2025.

John Plansky, executive vice president and head of State Street Wealth Services, said the partnership "augments our wealth services capabilities" to serve growing global wealth customers. Bill Capuzzi, CEO of Apex Fintech Solutions, stated that wealth management is "on the precipice of enormous change" and the partnership will enable the global advisor-based market to "launch, scale and innovate at unprecedented speed."

SS&C Acquires Curo Fund Services

SS&C Technologies Holdings announced the acquisition of Curo Fund Services from a joint venture between Sanlam and Old Mutual, expanding its fund administration footprint in South Africa. The company did not disclose financial terms for the deal, which requires approval from the South African Competition Commission.

Curo administers more than R3 trillion (USD 170.4 billion) in assets and will bring approximately 300 employees to SS&C's operations in Cape Town. The South African fund administrator already uses several of SS&C's fund accounting and asset servicing technologies, which the company said would facilitate integration while maintaining existing client administration arrangements.

Following the acquisition, Curo will operate independently within SS&C's Global Investor & Distribution Solutions group, led by Nick Wright. Bill Stone, SS&C Chairman and CEO, said the combination would deliver "greater efficiency, data-driven insights, and integrated services for the region's insurers, asset managers and institutional investors," while Lionel Vice, Curo CEO, noted the partnership would accelerate innovation and enable business expansion across Africa.

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🚀 Digital Asset News

U.S. Bank Resumes Bitcoin Custody Services

U.S. Bank announced Tuesday it has resumed offering cryptocurrency custody services for institutional investment managers, expanding the program originally launched in 2021 to now include bitcoin ETFs. The Minneapolis-based bank is offering the service as an early access program to Global Fund Services clients, with NYDIG serving as the bitcoin sub-custodian.

The bank, which manages $11.7 trillion in assets under custody and administration, was among the first major U.S. financial institutions to offer cryptocurrency custody services when it initially launched the program in 2021. Stephen Philipson, vice chair of U.S. Bank Wealth, Corporate, Commercial and Institutional Banking, said the expansion follows "greater regulatory clarity" in the cryptocurrency space.

The partnership with NYDIG aims to bridge traditional finance and the digital economy by providing institutional-grade custody infrastructure. Dominic Venturo, the bank's chief digital officer, indicated U.S. Bank will continue expanding its digital asset capabilities to deliver innovative solutions in digital finance.

Coinbase CFO Outlines Tokenisation Strategy

Coinbase CFO Alesia Haas outlined the company's expansion into tokenised securities during an investor conference, revealing the exchange is actively working with regulators to enable on-chain equity trading. Haas said the company envisions offering securities that trade 24/7 with on-chain dividends and governance capabilities, describing current securities trading rules as "archaic."

The executive highlighted Coinbase's dominant market position, noting the company custodies over $400 billion in assets, approximately 12% of total crypto market capitalisation and twice the amount held by its nearest centralised competitor. Recent partnerships with JPMorgan Chase, American Express, and Shopify demonstrate institutional adoption, while the integration of decentralised exchange capabilities aims to make Coinbase "the everything exchange," Haas said.

Looking ahead, Haas confirmed the company's commitment to remaining EBITDA positive "in all market conditions" while investing in growth opportunities. The executive said regulatory clarity remains the "number one reason" institutional investors stay sidelined, but expects gradual adoption once the Clarity Act passes, particularly from banks and registered investment advisors who have yet to enter the crypto market.

CFTC, SEC Enable Spot Crypto Trading

Staff from the Commodity Futures Trading Commission and Securities and Exchange Commission issued a joint statement on 2 September clarifying that SEC- and CFTC-registered exchanges are not prohibited from facilitating the trading of certain spot commodity products, including crypto assets. The agencies said the joint effort promotes trading venue choice and optionality for market participants.

The statement marks a departure from the prior administration's approach to regulating digital assets. CFTC Acting Chairman Caroline D. Pham said the previous chapter where "innovation was not welcome" is over, while SEC Chairman Paul Atkins called the statement "a significant step forward" in bringing crypto innovation back to America. Both officials emphasised that the collaborative approach aligns with President Trump's objective to establish American leadership in crypto markets.

The SEC's Division of Trading and Markets and the CFTC's Division of Market Oversight and Division of Clearing and Risk are coordinating efforts as part of their respective Project Crypto and Crypto Sprint initiatives. The divisions said they stand ready to engage with market participants to support exchange trading in certain spot crypto asset products, inviting participants to discuss questions or concerns with agency staff.