The Bank of New York will sell its European-based mutual fund software business to Australian company Bravura Solutions for $60.2 million, Crain's New York Business reports. Bravura is a software development company that serves pensions, life insurance and investment management firms throughout the world.

BONY originally bought the company, Rufus, from Royal Bank of Scotland in 1999 and expanded, with the help of Microsoft, it to serve 75 corporations running 1,500 mutual funds and supporting more than six million investors.

The bank decided the sell the business, said spokesman Ivan Royle, becase "we are not, at the end of the day, a specialist software developer" but realized it could profitably sell the business because "we brought it to a level and capability where it really can support a very broad range of fund structures."

As part of the sales deal, Microsoft will continue to work with Bravura for five years.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.