The custodian intends to help its clients navigate the complex securities class action landscape.
BNP Paribas Securities Services (BNPPSS), a custodian with $3.7 trillion in assets under custody, has appointed securities operations and systems provider Broadridge Financial Solutions as its global securities class action service provider.
The move aims to strengthen the ability of BNPPSS’s clients to navigate the increasingly complex securities class action landscape, officials say.
According to data from Broadridge, the number of global class actions is growing, with over 35 jurisdictions implementing collective redress mechanisms. In 2024 alone, there were more than 125 recovery opportunities, leading to $5.2 billion in settlements.
As class actions become more frequent and complicated, BNP Paribas Securities Services sought an external partner to bolster its ability to recover lost or misappropriated assets for institutional investors. The integration of Broadridge’s Global Class Action platform will expand BNP Paribas’ global coverage and increase investor participation in settlement recoveries, officials say.
BNP Paribas Securities Services views this as a strategic move to differentiate its offerings. “We’ll be able to leverage Broadridge’s proprietary technology to identify, file, and recover investment losses, along with their deep industry expertise,” the company stated.
The collaboration reflects the growing demand for efficient asset recovery services, as financial institutions face increasing pressure to maximize investor returns and minimize losses.
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