Northern Trust Sells Custody Services to Wintrust Financial
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Source: seekingalpha
- Asset Management Scale: Northern Trust's sale of its custody services business, which manages approximately $1.2 billion in assets, highlights its significant scale and influence in the asset management sector.
- Team Integration: Upon completion of the transaction, Northern Trust's custody team will join Wintrust, indicating a strategic integration that enhances both companies' competitive capabilities through combined expertise.
- Transaction Timeline: The deal is expected to close later this year, reflecting Northern Trust's strategic decision to optimize its business portfolio and focus on core operations.
- Financial Terms Undisclosed: While the financial terms of the transaction remain undisclosed, this move could impact Northern Trust's financial performance, particularly in future revenue and asset allocation strategies.
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Analyst Views on NTRS
Wall Street analysts forecast NTRS stock price to fall
11 Analyst Rating
2 Buy
8 Hold
1 Sell
Hold
Current: 181.390
Low
97.50
Averages
108.65
High
128.00
Current: 181.390
Low
97.50
Averages
108.65
High
128.00
About NTRS
Northern Trust Corporation is a provider of wealth management, asset servicing, asset management and banking to corporations, institutions, affluent families and individuals. The Company’s segments include Asset Servicing and Wealth Management. Asset Servicing is a global provider of asset servicing and related services to corporate and public retirement funds, foundations, endowments, fund managers, insurance companies, sovereign wealth funds, and other institutional investors around the globe. Asset servicing and related services encompass a full range of capabilities, including custody, fund administration, investment operations outsourcing, investment management, investment risk and analytical services, securities lending, and others. Wealth Management provides trust, investment management, custody, and philanthropic services; financial consulting; guardianship and estate administration; family business consulting; family financial education; brokerage services; and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Wintrust Acquires Northern Trust's Guardianship Services
- Transaction Overview: Wintrust Private Trust Company has entered into an agreement to acquire the guardianship services business of Northern Trust, with the deal expected to close later in 2026; while terms remain undisclosed, the business manages approximately $1.2 billion in assets, indicating Wintrust's potential for expansion in the guardianship sector.
- Commitment to Client Service: Jason Tyler, President of Northern Trust Wealth Management, emphasized that Wintrust is well-positioned to continue providing focused service to these clients, reflecting a strong commitment to service quality that may enhance client trust and satisfaction.
- Market Position Enhancement: Mary Ann Korenic, CEO of Wintrust Private Trust Company, stated that this acquisition will solidify Wintrust's position as a leading provider of guardianship services in Chicago and surrounding counties, likely attracting more clients and increasing market share.
- Team Integration Plan: The guardianship team from Northern Trust is expected to transition to Wintrust upon completion of the transaction, bringing experienced professionals that will further enhance Wintrust's competitiveness in the guardianship services arena.
See More
Northern Trust Supports Invesco's New Fund Launch
- Continued Partnership: Northern Trust has been appointed by Invesco to provide administration, custody, and depositary services for its new Irish-domiciled fund, further solidifying their long-standing collaboration and expected to enhance Invesco's expansion in the European market.
- Asset Management Scale: Invesco manages assets totaling $2.45 trillion globally, and the new fund range introduces its swap-based index replication approach to mutual fund investors in Europe, which is anticipated to attract more investor participation.
- Innovative Service Model: Northern Trust delivers a scalable end-to-end solution for Invesco Markets V ICAV, integrating with Invesco's mutual fund investor servicing infrastructure, thereby supporting its distribution plans and growth strategy, enhancing market competitiveness.
- Industry Leadership: Northern Trust provides a comprehensive suite of asset servicing solutions globally, with $18.6 trillion in assets under custody, further reinforcing its leadership position in the industry through exceptional service quality and financial expertise.
See More
Wintrust Financial to Acquire Northern Trust's Guardianship Services
- Acquisition Agreement: Wintrust Financial Corp. announced that its subsidiary Wintrust Private Trust Company, N.A. will acquire the guardianship services business of Northern Trust Corp., with the deal expected to close later in 2026, subject to customary conditions, although the transaction amount remains undisclosed.
- Asset Management Scale: Northern Trust's guardianship services manage approximately $1.2 billion in assets, providing court-appointed fiduciary and financial oversight services for individuals unable to manage their own affairs due to age, disability, or incapacity, highlighting the importance of this service in wealth management.
- Market Expansion Plans: This acquisition will enhance Wintrust's guardianship service capabilities in Chicago and surrounding counties, thereby strengthening its competitive position in the wealth management sector and addressing the growing client demand for such services.
- Market Reaction: Following the announcement, Northern Trust's shares rose 0.03% to $181.20 after hours, while Wintrust Financial's shares increased by 0.99% to $162.79 during Monday's trading, indicating a positive market response to the acquisition news.
See More
Northern Trust Sells Custody Services to Wintrust Financial
- Asset Management Scale: Northern Trust's sale of its custody services business, which manages approximately $1.2 billion in assets, highlights its significant scale and influence in the asset management sector.
- Team Integration: Upon completion of the transaction, Northern Trust's custody team will join Wintrust, indicating a strategic integration that enhances both companies' competitive capabilities through combined expertise.
- Transaction Timeline: The deal is expected to close later this year, reflecting Northern Trust's strategic decision to optimize its business portfolio and focus on core operations.
- Financial Terms Undisclosed: While the financial terms of the transaction remain undisclosed, this move could impact Northern Trust's financial performance, particularly in future revenue and asset allocation strategies.
See More
Wintrust Acquires Northern Trust's Guardianship Services
- Transaction Overview: Wintrust Private Trust Company has entered into an agreement to acquire the guardianship services business of Northern Trust Corporation, with the transaction expected to close later this year, although terms have not been disclosed.
- Asset Management Scale: The guardianship services business of Northern Trust manages approximately $1.2 billion in assets, which will significantly enhance Wintrust's market position in guardianship services and further solidify its leadership in the Chicago area and surrounding counties.
- Team Integration: Upon completion of the transaction, Northern Trust's guardianship team will join Wintrust, which will not only enhance Wintrust's service capabilities but also provide clients with the focused attention they expect from guardianship services.
- Company Background: Wintrust Financial Corporation, with $72 billion in assets, is committed to delivering a community banking experience under its
See More
Custody Banks Outperform Traditional Banks Significantly
- Strong Performance of Custody Banks: Year-to-date, custody banks like State Street and BNY Mellon have surged 32% and 26% respectively, indicating their ability to attract more client assets during market volatility, thereby enhancing revenue and market position.
- Revenue Growth Drivers: BNY Mellon reported first-quarter revenue of $5.4 billion, a 13% year-over-year increase, with fee income and net interest income rising by 12% and 18% respectively, reflecting improved profitability in a high-interest-rate environment.
- Increase in Client Assets: Amid market uncertainty, BNY Mellon saw a 12% rise in assets under custody and a 13% surge in average deposits, which not only boosted fee income but also strengthened client trust and market share.
- Optimistic Future Outlook: With the S&P 500 rising nearly 15% in Q2, custody banks are expected to report new records in assets and revenue in their upcoming Q2 earnings, further solidifying their market leadership.
See More
Wintrust Acquires Northern Trust's Guardianship Services
- Transaction Overview: Wintrust Private Trust Company has entered into an agreement to acquire the guardianship services business of Northern Trust, with the deal expected to close later in 2026; while terms remain undisclosed, the business manages approximately $1.2 billion in assets, indicating Wintrust's potential for expansion in the guardianship sector.
- Commitment to Client Service: Jason Tyler, President of Northern Trust Wealth Management, emphasized that Wintrust is well-positioned to continue providing focused service to these clients, reflecting a strong commitment to service quality that may enhance client trust and satisfaction.
- Market Position Enhancement: Mary Ann Korenic, CEO of Wintrust Private Trust Company, stated that this acquisition will solidify Wintrust's position as a leading provider of guardianship services in Chicago and surrounding counties, likely attracting more clients and increasing market share.
- Team Integration Plan: The guardianship team from Northern Trust is expected to transition to Wintrust upon completion of the transaction, bringing experienced professionals that will further enhance Wintrust's competitiveness in the guardianship services arena.
See More
Northern Trust Supports Invesco's New Fund Launch
- Continued Partnership: Northern Trust has been appointed by Invesco to provide administration, custody, and depositary services for its new Irish-domiciled fund, further solidifying their long-standing collaboration and expected to enhance Invesco's expansion in the European market.
- Asset Management Scale: Invesco manages assets totaling $2.45 trillion globally, and the new fund range introduces its swap-based index replication approach to mutual fund investors in Europe, which is anticipated to attract more investor participation.
- Innovative Service Model: Northern Trust delivers a scalable end-to-end solution for Invesco Markets V ICAV, integrating with Invesco's mutual fund investor servicing infrastructure, thereby supporting its distribution plans and growth strategy, enhancing market competitiveness.
- Industry Leadership: Northern Trust provides a comprehensive suite of asset servicing solutions globally, with $18.6 trillion in assets under custody, further reinforcing its leadership position in the industry through exceptional service quality and financial expertise.
See More
Wintrust Financial to Acquire Northern Trust's Guardianship Services
- Acquisition Agreement: Wintrust Financial Corp. announced that its subsidiary Wintrust Private Trust Company, N.A. will acquire the guardianship services business of Northern Trust Corp., with the deal expected to close later in 2026, subject to customary conditions, although the transaction amount remains undisclosed.
- Asset Management Scale: Northern Trust's guardianship services manage approximately $1.2 billion in assets, providing court-appointed fiduciary and financial oversight services for individuals unable to manage their own affairs due to age, disability, or incapacity, highlighting the importance of this service in wealth management.
- Market Expansion Plans: This acquisition will enhance Wintrust's guardianship service capabilities in Chicago and surrounding counties, thereby strengthening its competitive position in the wealth management sector and addressing the growing client demand for such services.
- Market Reaction: Following the announcement, Northern Trust's shares rose 0.03% to $181.20 after hours, while Wintrust Financial's shares increased by 0.99% to $162.79 during Monday's trading, indicating a positive market response to the acquisition news.
See More
Northern Trust Sells Custody Services to Wintrust Financial
- Asset Management Scale: Northern Trust's sale of its custody services business, which manages approximately $1.2 billion in assets, highlights its significant scale and influence in the asset management sector.
- Team Integration: Upon completion of the transaction, Northern Trust's custody team will join Wintrust, indicating a strategic integration that enhances both companies' competitive capabilities through combined expertise.
- Transaction Timeline: The deal is expected to close later this year, reflecting Northern Trust's strategic decision to optimize its business portfolio and focus on core operations.
- Financial Terms Undisclosed: While the financial terms of the transaction remain undisclosed, this move could impact Northern Trust's financial performance, particularly in future revenue and asset allocation strategies.
See More
Wintrust Acquires Northern Trust's Guardianship Services
- Transaction Overview: Wintrust Private Trust Company has entered into an agreement to acquire the guardianship services business of Northern Trust Corporation, with the transaction expected to close later this year, although terms have not been disclosed.
- Asset Management Scale: The guardianship services business of Northern Trust manages approximately $1.2 billion in assets, which will significantly enhance Wintrust's market position in guardianship services and further solidify its leadership in the Chicago area and surrounding counties.
- Team Integration: Upon completion of the transaction, Northern Trust's guardianship team will join Wintrust, which will not only enhance Wintrust's service capabilities but also provide clients with the focused attention they expect from guardianship services.
- Company Background: Wintrust Financial Corporation, with $72 billion in assets, is committed to delivering a community banking experience under its
See More
Custody Banks Outperform Traditional Banks Significantly
- Strong Performance of Custody Banks: Year-to-date, custody banks like State Street and BNY Mellon have surged 32% and 26% respectively, indicating their ability to attract more client assets during market volatility, thereby enhancing revenue and market position.
- Revenue Growth Drivers: BNY Mellon reported first-quarter revenue of $5.4 billion, a 13% year-over-year increase, with fee income and net interest income rising by 12% and 18% respectively, reflecting improved profitability in a high-interest-rate environment.
- Increase in Client Assets: Amid market uncertainty, BNY Mellon saw a 12% rise in assets under custody and a 13% surge in average deposits, which not only boosted fee income but also strengthened client trust and market share.
- Optimistic Future Outlook: With the S&P 500 rising nearly 15% in Q2, custody banks are expected to report new records in assets and revenue in their upcoming Q2 earnings, further solidifying their market leadership.
See More
