Standard Chartered first to offer custody services in Dubai

As a sub-custodian, Standard Chartered offers to hold DIFX securities on behalf of institutional investors participating in this new market. The Bank will also provide settlement, safekeeping services, corporate actions and market information for customers who trade on the DIFX.

The DIFX opened for business on 26 September 2005. It is regulated to international standards and aims to become the leading financial exchange between Western Europe and East Asia.

Steffen Schubert, Chief Executive of the DIFX, said: "Sub-custodian services will play a key role in the growth of the DIFX market. We are delighted to be able to rely on Standard Chartered's experience and expertise in this sector."

Standard Chartered's sub-custodian clients comprise the world's largest global custodians, broker-dealers, fund managers and institutional investors from North America, Europe and Asia. The Bank is a leader in Asian sub-custody and proven premier supplier of custody, funds services and local custody activities, with a network that spans 16 major and emerging markets in Asia.

The DIFX is the first exchange in the Middle East for which the bank is providing sub-custodian services for its member companies.

Ray Ferguson, Chief Executive, Standard Chartered, United Arab Emirates, said, "We are pleased to launch these services for the DIFX, as our first market in the region. This demonstrates our commitment to partner the DIFX as it develops after its successful launch."

Paul Hedges, Standard Chartered's Global Head for Securities Services said, "Dubai is the 16th market in which we offer sub-custody services. This latest launch demonstrates our commitment in developing our Securities Services business globally, and to provide solutions and services where ever our customers are expanding."

The sub-custody service follows closely the exclusive Clearing Bank mandate by DIFX to Standard Chartered in July 2005. As DIFX's Clearing Bank, Standard Chartered will process all cash receipts and payments for DIFX-appointed settlement banks under a tri-partite agreement between the DIFX, the Clearing Bank and each Settlement Bank. In addition to the Clearing Bank and sub-custodian services, Standard Chartered provides comprehensive cash management services to DIFX Clearing Members as one of DIFX's chosen Settlement Banks.