National Australia Bank’s Asset Servicing business has added another $300 million to its assets under custody after winning a contract with Adelaide-based fund manager, Investment Science Asset Management.

The mandate win comes after a competitive tender process from Investment Science, undertaken by consultants Foxrock, and is the NAB’s second mandate from a mid-ranking fund manager in as many months, after winning a contract from Melbourne’s OC Funds Management in late November.

Investment Science’s multi-manager, multi-asset class solutions are pitched at financial planners, and the fund was ranked as the highest returning fund on the Morningstar Database over the five years to November 30, 2012.

The firm was also recognised as Best Multi-Strategy fund at the Australian Hedge Fund Awards.

NAB is the largest custodian in the Australian market, with $540 billion under custody and administration, but is facing renewed competition from the likes of State Street, JP Morgan and Citi, which has a renewed focus on the Asia-Pacific and Australia.

NAB won mandates from Telstra Super and the Health Industry Plan late in 2012. State Street scored a victory over NAB in November, winning the custody mandate from the $625-million Christian Super on top of mandates from Sunsuper and QSuper, both previously with NAB.