Custodial Services
Custody refers to services that include holding securities, settling transactions, collecting income, processing corporate actions, providing information assets, and tax reporting. Chain Bridge Bank, N.A. as custodian ensures that client assets are securely held, correctly administered, and remain off of its own balance sheet. Clients can streamline their asset administration and benefit from robust security measures to protect their investments with this custodial arrangement. Chain Bridge Bank, N.A. also provides reporting and valuation services to assist in investment decision-making. Its custody services combine safety, efficiency, and convenience to manage and protect clients’ financial assets for the long term.
Safekeeping
In the realm of financial services, the secure custody of assets is a paramount concern. While brokerage clients may by default use their broker-dealer as custodian, that choice bears certain risks. Assets entrusted to broker-dealers may occasionally become exposed to claims by the broker-dealer’s creditors because they are not segregated off the balance sheet. This can potentially jeopardize the security of the client’s assets, creating a certain degree of financial uncertainty.
National bank custody as offered by Chain Bridge Bank, N.A. uses a distinct approach to the safekeeping of financial assets: segregated custody. This strategy ensures that client assets are scrupulously maintained in separate accounts off the balance sheet. As a result, these client assets remain absolutely inaccessible to the custodian’s creditor claims. This feature is not just a procedural formality; it is a defining element that reinforces the protection of client assets and sets national bank custody apart from other methods of asset custody.
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