CHICAGO, Oct. 27 /PRNewswire-FirstCall/ -- Northern Trust announced today it has introduced a new pre-trade analysis report for Transition Management that is designed to help institutional investors evaluate the potential costs and risks associated with a decision to switch investment managers or change asset allocation policy.

"In recent years, we have had an excellent track record minimizing our clients' risk when they have transitioned assets in a very volatile environment," said Grant Johnsey, Head of Transition Management-North America for Northern Trust Global Investments, the asset management arm of Northern Trust. "Our innovative pre-trade report captures the elements of our risk management process, setting a new standard for transparency and also providing clients with a roadmap for a completed transition to a new investment manager, strategy or allocation."

Northern Trust's pre-trade report includes a number of market-leading risk metrics, including 20-day performance comparisons of target and legacy portfolios, detailed industry sector analysis, a corporate earnings announcement calendar for relevant securities, and a summary of trades by time zone for global portfolios. The reports also detail the full cost of a transition, including explicit costs such as fees, taxes and trading commissions, as well as implicit costs like bid-offer spreads, market impact, and opportunity cost as a security price moves over time.

"While clients sometimes select a transition manager based on the lowest estimated costs, we believe the goal of a pre-trade report should be to provide a reliable assessment of the risks and costs associated with a transition event," said Ben Jenkins, a senior strategist in Northern Trust Transition Management. "Our new report provides a more comprehensive view of the potential risks when trading assets, enabling us to deliver a customized solution that seeks to achieve the target portfolio exposure on a timely basis."

Northern Trust has provided transition management services since 1987. Over the past three years, Northern Trust Transition Management has managed more than 1,200 transition events, with a total value in excess of U.S.$160 billion.

About Northern Trust

Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of investment management, asset and fund administration, banking solutions and fiduciary services for corporations, institutions and affluent individuals worldwide. Northern Trust, a financial holding company based in Chicago, has offices in 18 U.S. states and 16 international locations in North America, Europe, the Middle East and the Asia-Pacific region. As of September 30, 2009, Northern Trust had assets under custody of US$3.6 trillion, and assets under investment management of US$611 billion. For 120 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.

Securities products and services are offered by Northern Trust Securities, Inc., member FINRA, SIPC and a wholly owned subsidiary of Northern Trust Corporation.

Northern Trust operates in Australia as a foreign authorised deposit-taking institution (foreign ADI) and is regulated by the Australian Prudential Regulation Authority.

Northern Trust in Hong Kong is a securities company regulated by the Securities and Futures Commission.

Northern Trust in Singapore is a foreign wholesale bank regulated by the Monetary Authority of Singapore.

Northern Trust operates in China as a Representative Office and is regulated by the China Banking Regulatory Commission.

Northern Trust (Guernsey) Limited, Northern Trust Fiduciary Services (Guernsey) Limited, Northern Trust Fiduciary Company (Guernsey) Limited and Northern Trust International Fund Administration Services (Guernsey) Limited are licensed by the Guernsey Financial Services Commission.

Northern Trust International Fund Administrators (Jersey) Limited and Northern Trust Fiduciary Services (Jersey) Limited are regulated by the Jersey Financial Services Commission.

Northern Trust Global Services is authorised and regulated in the Netherlands by De Nederlandsche Bank.

Northern Trust Global Services Limited Luxembourg Branch is authorised and regulated by the Financial Services Authority and in Luxembourg by the Commission de Surveillance du Secteur Financier (CSSF) and Northern Trust Luxembourg Management Company S.A. is regulated by the CSSF.

Northern Trust Global Services Limited - Abu Dhabi. Representative Office, Licence number 13/238/2008.

Where Northern Trust's UK entities undertake regulated business, they are authorised and regulated in the United Kingdom by the Financial Services Authority.

Northern Trust International Fund Administration Services (Ireland) Limited and Northern Trust Fiduciary Services (Ireland) Limited are regulated by the Financial Regulator.

The Northern Trust Company operates in Canada as The Northern Trust Company, Canada Branch which is an authorized foreign bank branch under the Bank Act (Canada). Trustee related services in Canada are provided by the wholly owned subsidiary The Northern Trust Company, Canada, an authorized trust company under the Trust & Loans Companies Act (Canada). Deposits with The Northern Trust Company and its affiliates and subsidiaries are not insured by the Canada Deposit Insurance Corporation.

Northern Trust Global Services Ltd (UK) Sweden Filial is a BCD Passported branch of Northern Trust Global Services Ltd a firm authorised and regulated in the UK by the Financial Services Authority ('FSA').

SOURCE Northern Trust