Connecticut Treasury has selected State Street Bank & Trust as the master custodian bank for the $61 billion Connecticut Retirement Plan and Trust Funds and the internally managed funds, state Treasurer Shawn Wooden announced.

Boston-based State Street will also be an investment account manager for Connecticut’s $12.5 billion Short-Term Investment Fund, or STIF.

Wooden’s office issued a request for proposals in December.

The previous RFP had been in 2012, according to a news release from Wooden’s office. State Street will replace Bank of New York Mellon.

Key selection considerations, according to Wooden, were organizational soundness, financial health and management structure.

Wooden cited State Street’s capabilities for multi-asset classes, innovative technology, strong internal controls, tax reclaims process, advanced financial accounting and account administration.

The STIF is an investment vehicle for the operating cash of the state, state agencies and authorities, municipalities, and other political subdivisions.

It is part of more than $18 billion in aggregate funds that Wooden’s office manages internally and counts nearly all municipalities and other political subdivisions as investors.

State Street has more than $43.3 trillion of assets under custody and administration and nearly $4 trillion in assets under management as of June 30.

Earlier this year, Connecticut received upgrades from all four bond rating agencies, which cited among other factors its use of budget surpluses to pay down unfunded pension liability.

Fitch Ratings rates the state’s general obligation bonds AA-minus. Kroll Bond Rating Agency and S&P Global Ratings rate the state’s GOs AA and A-plus, respectively, while Moody’s Investors Service assigns its Aa3 rating.