STT News & Events

State Street Investment Management announced the launch of the State Street Stablecoin Reserves Money Market Fund, a GENIUS Act-aligned registered Rule 2a-7 government money market fund designed specifically for the unique needs of stablecoin issuers. The Guiding and Establishing National Innovation for U.S. Stablecoins Act, passed into law by the United States Congress in July 2025, creates a clearer regulatory framework to utilize money market funds registered under the Investment Company Act of 1940 to back the issuance of stablecoins. The fund was designed and built to comply with the GENIUS Act. State Street Bank and Trust Company, and Anchorage Digital, home to the first federally chartered crypto bank in the United States, are initial investors in the fund.

New York City's pension system is seeking bids for $92B of stock index-tracking funds currently overseen by BlackRock (BLK) and State Street Investment Management (STT), Bloomberg's Olivia Raimonde reports, noting that the existing contracts expire by the end of the year, and all interested firms will be eligible to submit proposals by July 15 to manage the portfolios. The city's five major pension plans have a total $127B in equity investments, with most of it allocated to index funds, and the decision to accept new proposals reflects "good governance" according to City Comptroller Mark Levine's office.

State Street announced that it has been selected by Principal Financial Group, a global financial services company specializing in retirement solutions, asset management and insurance, to provide custody, fund accounting and administration services for Principal Funds. Under the expanded mandate, Principal will leverage State Street's integrated investment servicing platform and global operating scale to support the continued evolution of its mutual fund business.

IBM (IBM) and Red Hat announced Project Lightwell, a $5B commitment backed by new frontier AI capabilities and a global force of more than 20,000 engineers to help enterprises secure open-source software. Together, these investments establish a new model for enterprise use of open-source software, from upstream development through production environments. Project Lightwell will establish an enterprise clearinghouse combined with a force of engineers to identify and fix vulnerabilities at scale. The clearinghouse will serve as a security coordination layer, using advanced AI capabilities to validate and test fixes across an unprecedented volume of open-source code. These capabilities will be offered through commercial subscriptions, allowing enterprises to integrate secure patches directly into their existing software supply chains with enterprise-grade validation and lifecycle management. IBM and Red Hat have already begun collaborating with a select group of early adopters on Project Lightwell, including Bank of America (BAC), BNY (BK), Citi (C), Goldman Sachs (GS), JPMorganChase (JPM), Mastercard (MA), Morgan Stanley (MS), Royal Bank of Canada (RY), State Street (STT), Visa (V) and Wells Fargo (WFC). Project Lightwell builds on IBM and Red Hat's open source, enterprise AI and security, and incorporates learnings from initiatives such as Anthropic's Project Glasswing and OpenAI's Trust Access for Cyber, with a goal of utilizing new IBM agentic security methods to protect the foundational open source layers that underpin modern enterprise and AI systems.