The proposed merger between Mellon Financial and The Bank of New York will create a money management powerhouse, with the resulting firm having global reach into both the retail and institutional markets, Dow Jones reports.

The firm will offer a wide array of asset management and custody services, said Ronald O’Hanley, chief executive officer of Mellon Asset Management, who will oversee the asset management division of the merged entity.

“The scale created in asset servicing will allow us to bring more of our asset management capabilities to more customers,” O’Hanley said. “It will be a powerful combination.”

While The Bank of New York doesn’t offer the breadth of products that Mellon does – its asset management division has 13 units – it will fill in gaps, he continued. Most notably, those are separate accounts, REITs and structured debt products. In addition, The Bank of New York manages $60 billion in assets for high-net-worth investors; Mellon manages $90 billion.

“We’re already a leader in the high-net-worth area, but we’ve struggled in New York. That’s one of their strengths,” O’Hanley said.

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