BlackRock has added BNY Mellon as a post-trade service provider for its Irish-domiciled ETFs.
BNY Mellon will join State Street as a service provider, covering depositary, fund administration and fund accounting services to a “selection” of its ETFs.
State Street will continue to act as the registrar and transfer agent for all Ireland-domiciled iShares ETFs.
The US asset manager said the move will lead to a “broadly 50-50 asset split” between depository and administration between State Street and BNY Mellon, following a period of transition, and resulting in $356bn assets under custody for BNY Mellon.
State Street will continue to act as fund administrator and depository for iShares ETFs domiciled in Switzerland and Germany.
A State Street spokesperson said: "State Street is a long-term partner to BlackRock. We will continue to provide depository and administration services to BlackRock and remain a critical service provider to a diverse set of BlackRock funds."
It comes three years after BlackRock announced the diversification of post-trade custodians for US-domiciled ETFs in a bid to mitigate concentration risk.
BNY Mellon, Citi and JP Morgan joined State Street as custodians on its US-listed ETFs, taking a share of 15%, 40% and 30% of its assets, respectively.