Northern Trust and ABN AMRO Clearing Help Dutch Institutional Investors Respond to Regulatory Challenges

In response to new mandatory central clearing requirements for over the counter derivatives, Northern Trust (Nasdaq: NTRS) and ABN AMRO Clearing have created a solution to help institutional investors meet their collateral transparency requirements.

Under the terms of the collaboration ABN AMRO Clearing will provide derivatives clearing services which, combined with Northern Trust’s custody and collateral management services, will help clients respond to the new regulatory requirements and reduce the burden of the transition to a cleared derivative environment.

The Northern Trust and ABN AMRO Clearing solution provides clients with a set of account structures for cleared derivatives designed to increase safety and transparency on collateral flows throughout the central clearing process.

"Dutch pension funds and insurance companies with derivative exposure are highly sophisticated and will face a number of unique regulatory challenges,” said Justin Chapman, global head of Industry Management at Northern Trust. "Working with ABN AMRO Clearing we can reduce the risk associated with counterparty and settlements and enhance the safety of our clients’ assets within transparent account structures.”

Under Dodd-Frank and the European Market Infrastructure Regulation (EMIR), market participants will need greater amounts of eligible collateral and will face increased demand for liquidity. This creates challenges for institutional investors.

"In the current landscape, it is very important for institutional investors to rely on experts in their respective domain,” said Gildas Le Treut, global director of Prime Clearing at ABN AMRO Clearing. "We are delighted to collaborate with Northern Trust to provide solutions that will allow clients to face regulatory challenges more efficiently.”

Northern Trust and ABN AMRO Clearing will provide regular updates as we work together on developing this solution to help clients in navigating the evolving regulatory landscape.

About Northern Trust

Northern Trust Corporation is a leading provider of asset servicing, fund administration, asset management, fiduciary, and banking solutions for corporations, institutions, families, and individuals worldwide. Chicago-based Northern Trust has offices in 19 states, Washington, D.C., and 19 international locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of June 30, 2014, Northern Trust had assets under custody of US$6 trillion, and assets under investment management of US$924.4 billion. For 125 years, Northern Trust has earned distinction as an industry leader in combining exceptional service and expertise with innovative products and technology. For more information, visit www.northerntrust.com and follow us on Twitter @NorthernTrust.

Northern Trust Corporation, Head Office: 50 South La Salle Street, Chicago, Illinois 60603 U.S.A., incorporated with limited liability in the U.S. Global legal and regulatory information can be found at http://www.northerntrust.com/disclosures

About ABN AMRO Clearing

ABN AMRO Clearing is one of the world’s leading providers of clearing and financing services for listed derivatives and cash securities, OTC products, warrants, commodities and FX. With 11 offices globally employing more than 800 staff, ABN AMRO Clearing services clients on 160+ exchanges, MTFs, dark pools and FX liquidity centres and consistently ranks as a top 3 clearer in most time zones with a 10% global market share. ABN AMRO Clearing offers an integrated approach to global transaction processing, financial logistics and risk management and processes over 10 million trades per day.

www.abnamroclearing.com