State Street Corporation announced a significant expansion of its nearly 40‑year relationship with Thornburg Investment Management, a privately owned global investment firm that manages approximately $57 billion in client assets as of March 31 2026. The new agreement will give Thornburg end‑to‑end servicing support for its upcoming ETF share classes, enabling the firm to broaden access to its active, high‑conviction investment strategies through State Street’s custody and servicing platform.
The expansion marks the second active‑ETF share‑class servicing mandate in the United States that State Street has undertaken, underscoring the company’s strategy of deepening client stickiness across its custody and asset‑servicing business. State Street’s platform, which held $53.8 trillion in assets under custody and $5.7 trillion in assets under management as of December 31 2025, is positioned to support the full ETF lifecycle for Thornburg’s new products.
Thornburg’s ETF platform, launched in January 2025, has grown to more than $600 million in assets as of March 2026. The partnership, which began in 1987, now extends to the new share‑class offerings, allowing Thornburg to deliver its mutual‑fund strategies to investors with the flexibility and tax efficiency of ETFs.
"Thornburg has a long history of delivering differentiated, actively managed strategies, and we're proud to support the continued evolution of their ETF platform. Our role is to provide the operational scale and flexibility that allows clients to focus on investment outcomes, while ensuring a consistent and seamless experience across fund structures," said Donna Milrod, chief product officer at State Street.
"State Street has been a trusted partner to Thornburg for decades. Their deep experience across fund structures and their ability to support the full ETF lifecycle positions them well to help us meet evolving client needs," said Mark Zinkula, CEO of Thornburg. "We are pleased to offer clients a new and innovative way to access Thornburg's investment strategies. Extending these mutual funds into ETF share classes underscores our commitment to meeting evolving client demand with actively managed, high‑conviction strategies grounded in fundamental research."
The expansion reflects a broader industry trend toward active‑ETF innovation, with managers increasingly seeking flexible product structures to meet client demand for cost efficiency and tax advantages. By leveraging State Street’s ETF‑as‑a‑service platform, Thornburg can bring its strategies to market without building extensive internal infrastructure, while State Street reinforces its leadership as the world’s largest ETF servicer and expands its revenue base in a high‑growth segment.
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