This achievement cements HNB’s position as the leading local provider of custody and trustee services, a sector traditionally dominated by foreign banks.
Since its establishment in 2016, HNB’s Custody and Trustee Services has steadily expanded its client base to 317 institutional and corporate clients, including large provident funds, local and international fund managers, high net worth individuals and other corporate entities.
The unit’s portfolio spans equity, debt instruments, treasury bills and bonds, repos, fixed deposits, commercial papers, money market instruments, and trust certificates.
It also provides fund accounting and net asset value (NAV) calculation services for numerous unit trust funds and insurance companies.
Speaking on the significance of the milestone, HNB Managing Director/CEO, Damith Pallewatte, said:
“Surpassing Rs. 1 trillion in assets under custody reflects our steadfast commitment to serving as a trusted partner in our clients’ financial journeys.
By continuously enhancing our systems, expertise, and client-focused solutions, we are strengthening Sri Lanka’s capital markets and reinforcing our role as an undisputed industry leader.”
HNB has developed a strong presence in the trustee and custodial banking services industry, currently holding approximately 69% of the overall market.
The Bank provides trustee and custody services to some of the largest unit trust managers in Sri Lanka, including NDB Wealth and Capital Alliance, among others.
HNB’s comprehensive suite of custody services also extends to specialized support for capital market transactions, such as debentures, structured finance products, and fund administration for finance and leasing companies seeking to raise funds.
From a systems perspective, HNB’s Custody and Trustee Services has invested in technology platforms designed to handle high transaction volumes and complex requirements.
This has allowed the unit to compete effectively with foreign banks, many of which rely heavily on global systems but face limitations in catering to individual client accounts and localized regulatory needs.
Commenting on the journey of building the unit from the ground up, Head of Custody and Trustee Services, Tyrone Hannan, said:
“To have built this business from the ground up, and be part of its journey in surpassing Rs. 1 trillion milestone is a remarkable achievement for HNB, and for the domestic banking industry – given that this is a space that has traditionally been dominated by large global players.
This milestone serves to validate the bold and ambitious journey that HNB has been on in custody and trustee services, and our efforts to build world-class systems, without losing the local culture and dynamics of Sri Lankan consumers.
Our continuing success reinforces our vision for catalysing growth and innovation across critical sectors of the national economy, ultimately supporting a more stable and resilient economic recovery,” he said.
Looking ahead, HNB’s Custody and Trustee Services aims to build on its leadership position by expanding further into emerging areas such as Real Estate Investment Trusts (REITs), offshore services, and advanced digital platforms.
These innovations will streamline client experiences and further reinforce HNB’s market leadership.
With 254 customer centers, HNB stands as one of Sri Lanka's largest and most technologically innovative private sector banks.
Most recently, the bank was recognized as the Best Retail Bank in Sri Lanka for the 15th year at the Asian Banker Global Excellence in Retail Financial Services Awards 2025.
HNB was also recognized as ‘The Best Bank – Sri Lanka’ at the second Emerging Asia Banking Conclave and Awards, organized by the Indian Chamber of Commerce (ICC).
HNB’s accolades in 2024 also include recognition at the Euromoney Awards for Excellence, where it was named Best Bank in Sri Lank and Best SMEs Bank in Sri Lanka.
HNB was ranked the Number 1 Company in Sri Lanka by Business Today in its Top 40 Businesses ranking for 2023-24.
HNB was recognized as one of the Top 25 Corporates at the LMD Awards which was held honouring 25 most awarded Sri Lankan Corporates.
Photo Caption Left to Right Damith Pallewatte - Managing Director/CEO and Tyrone Hannan - Head of Custody and Trustee Services