Tag: Brown Brothers Harriman

Brown Brothers Harriman

Moore Leaves BBH

Jay Moore has left his role as senior vice president and global head of currency administration at Brown Brothers Harriman (BBH).Moore joined BBH in 2012 to lead the product development efforts for FX, before subsequently transitioning to build and run the currency administration business for the firm.Prior to joining BBH, he was the global head of the currency management and portfolio solutions strategy teams for State Street Global Markets, where he worked between 1997 and 2012. In his roles, Moore was responsible for all functions related to the business including, product development and innovation, management, research, agency trading, technology, portfolio management, operations and sales.

CLS Adds Japanese Funds to Settlement Service

CLS has announced today that the first Japanese-domiciled funds have access to CLSSettlement as third-party clients.

Asset manager Fidelity International and The Master Trust Bank of Japan  (MTBJ), a trust bank exclusively engaged in asset management, have the first Japanese-domiciled funds to settle FX transactions in CLSSettlement. CLS says that this marks the start of a coordinated industry-wide effort to onboard the Japanese buy-side community to its settlement service over the next few years.

Fidelity International and MTBJ are being supported by Brown Brothers Harriman (BBH), which acts as MTBJ’s custodian for non-Japanese securities and related currency movements outside of Japan. BBH has made its third-party access to CLSSettlement available to facilitate MTBJ’s settlement of FX transactions.

A Different Kind of Alpha

Even when implementing passive currency hedging strategies, it’s still important to think in terms of alpha, explained Jay Moore, a senior vice president at Brown Brothers Harriman (BBH), during a panel discussion at the Profit & Loss Forex Network New York conference.

Although this might initially seem to be a contradictory statement, Moore explained that providers of passive hedging services can differentiate themselves both through risk management and what he termed “operational alpha”.

While portfolio risk obviously isn’t a concern when implementing passive currency strategies, Moore explained that there is a strong focus on managing other types of risk, such as regulatory risk, operational risk and managing the fiduciary risk that managers have on behalf of the funds that they outsource to firms that are providing the passive hedging.