State Street has partnered with a Danish company to provide an outsourcing solution to insurance firms in the Europe, Middle East and Africa region.
SimCorp, which provides investment management software solutions, will provide its cloud-based, multi-asset class capabilities, accounting and managed services in the deal.
State Street will provide data management, middle-office and custody services on its AlphaSM platform.
The firms will also integrate SimCorp's Dimension software with State Street's proprietary software solutions, including Charles River Development.
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The new partnership addresses operational efficiency, delivers improved accuracy and timely, high-quality, multi-asset data for front-to-back operations, the firms said.
SimCorp chief commercial officer Jochen Muller said: "We are pleased that State Street is expanding the use of SimCorp Dimension in their European business and we are impressed how open they want to be in their Alpha Platform, also accepting the complete SimCorp Solution to deliver their services."
Locally, State Street has 10.7% of the $3.75 trillion custodian market.
It was recently fined $1.25 million by AUSTRAC for allegedly breaching 99 times its obligation to report international transfers to the agency under Anti-Money Laundering and Counter-Terrorism Financing laws.