Swiss hedge fund manager Jabre Capital has appointed Citigroup as a fourth prime broker and custodian in the latest sign of universal banks encroaching on the territory of the former broker dealers.

Jabre Capital said in a statement to the Irish stock exchange, where its fund is listed as an open-ended vehicle, that "the appointment of Citigroup will be in addition to the existing prime brokers and custodians, namely UBS, Morgan Stanley and Merrill Lynch".