Brooks Macdonald Int’l enters South African advice market

Brooks Macdonald International (BMI) has been granted a license to provide advisory and intermediary services in South Africa.

Brooks Macdonald Int'l enters South African advice market

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The category I licence was issued by the country’s Financial Services Board (FSB) and means the company can now offer its discretionary investment management, security and dealing services to South African investors from its Channel Islands base.

Through an adviser, South African investors will now be able to access the company’s full range of investment services, including its International Bespoke Portfolio Service, International Managed Portfolio Service, and established segregated equity and bond strategies.

Business development director Lindsay Bateman, who joined the company in January last year, and senior investment manager, Gary Hill, have been approved as key individuals by the FSB.

Commitment

Darren Zaman, chief executive at BMI, said: “The granting of the license demonstrates our commitment to growing and servicing BMI’s international professional adviser and wider investment base in South Africa.”

He added that the company does not currently require an office in South Africa as it plans to work with advisers and introducers of business on-the-ground, who manage underlying client relationships.

He said South Africa’s market is divided between domestic investment requirements and international investment requirements, with the company focusing on the latter.

“Having a presence out there ourselves might be a benefit but ultimately what we are trying to sell is our international capabilities,” he said.

“As the underlying clients have on-the-ground advisers themselves, we have to be careful to ensure that our business partners don’t feel that we are going to start competing with them on the domestic front, which we are not targeting.”

He said the licence will enable the company to work with licenced advisers in South Africa, who can only deal with another member who is authorised by the South African authorities.