RBC Investor and Treasury Services, the custody arm of Royal Bank of Canada, has closed its Melbourne operations and relocate the entire Australian business to its Sydney headquarters, Financial standard has reported.
With this relocation, 14 employees will be affected who are currently working at the Melbourne office. But an RBC spokesperson said that all those who are affected will be offered to move to Sydney.
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According to the spokesperson, "Any impacted employees will be treated fairly, respectfully and consistent with RBC values. The move would not affect the services provided to RBC’s clients."
RBC’s Melbourne office was set up in 2006 when Goldman Sachs JBWere Asset Management (GS JBWere AM) outsourced custody of its $8 billion Australian portfolio to RBC.
Even though, RBC Investor and Treasury Services employs altogether of 150 people in Australia, it will not diminish following the Melbourne closure. As part of the deal, RBC staffed the new Melbourne office from a lift out of existing GS JBWere staff.
With assets under custody of A$53 billion, RBC Investor and Treasury Services saw an increase in assets under custody of A$5 billion in the first six months of 2013, according to data published by the Australian Custodial Services Association.
