Itaú BBA Taps Broadridge for Sec Lending, Repo

The partnership will consolidate all of Itaú's North American prime services operations under a single platform, allowing the São Paulo-based firm to reduce fixed-cost technology investments, and rapidly expand its broker-dealer capabilities in the US.

The move comes as a wider array of international and regional sell-side firms, among them FTN Financial, look to add securities lending and repurchase agreement servicing as additional revenue streams. With operations in Colombia, Peru, Chile, and Argentina, in addition to Brazil, Itaú BBA is running in stiff competition with BTG Pactual as South America's largest investment bank, and both institutions have sought to grow their global brokerage capability.

“It is an exciting time for Itaú as we launch our US dollar-based securities lending and repo business. We are delighted to collaborate with Broadridge given their proven track record and industry-leading reputation, bundled technology and BPO offering, and domain expertise across securities lending and repo markets," says Gregory Wagner, Itaú managing director and global head of prime services.