Singapore-based advisory firm International Financial Services (IFS) has written to clients to say that their accounts are to move to Meyado Private Wealth Management (MPWM).
The email from IFS chief executive Christopher Ivinson obtained by International Adviser does not specify whether the IFS businesses “coming together” with MPWM is an acquisition, merger or a different business arrangement.
A highly-placed Meyado source told IA: “Meyado Private Wealth Management Singapore is currently in discussion with IFS regarding the seamless transition of clients and advisers to Meyado, though nothing has been finalised and no formal agreements are in place.
“We look forward to working with the various institutions and stakeholders in a spirit of collaboration and cooperation. Meyado has long-term relationships with the institutions and product-providers, which we highly value. For the last 25 years, our number one priority has been the well-being of clients; that continues to be our mission with any further discussions with IFS.”
Driven by industry acquisitions
Ivinson wrote: “The recent acquisition of Singapore-based financial advisory firms by UK product providers means IFS needs to evolve to remain relevant and retain the ability to provide choice.”
He added: “The mechanics will be different in each jurisdiction and Singapore will see your accounts move to MPWM in Singapore.”
IFS also operates in Hong Kong and Qatar.
Attached to the email was a change of adviser form that the recipient needs to return within seven days. It does not state what will happen to the client’s account if they fail to submit the form on time or declines to do so.
The client’s relationship with their wealth manager “will continue unbroken”.
Ivinson added: “The business going forward will have in excess of $500m (£388.5m, €429.3m) under advice and a footprint from Hong Kong to the UAE to the EU, including an FCA-regulated UK financial advisory firm that will be available to assist any British expats that are returning home.”
Founded in Germany in 1993, Meyado has offices across Europe; Asia; and the Middle East.
IFS legal woes
The email was sent three months after a Singapore High Court ruling against IFS in a long-running case against Old Mutual International (OMI) and AAM Advisory.
It centred on a loan from OMI to one of the directors of IFS, Thomas (Paul) Fewtrell.
Ivinson and Fewtrell are named as the two directors in IFS in the court documents, with Fewtrell holding 81%.
The loan of S$1.8m (£1m, $1.32m, €1.13m) was made in 2014 to enable IFS to repay the outstanding capital and interest owing under two previous loans.
There were two guarantees to the loan, one from IFS and the other from Fewtrell’s wife.
The money was not repaid and, in September 2016, OMI demanded payment via letters sent by its solicitors.
Two months later, IFS’ solicitors responded that OMI and AAM had breached the confidentiality of the loan agreement by disclosing information about it to IFS employees.
According to court documents, IFS claimed that this was done “in the hope IFS staff would doubt IFS’ financial standing and question whether they should remain” with the company.
The judge ruled that the loan agreement contained no mention of confidentiality and “struck out” IFS’ claim.
Having lost the appeal, IFS remains liable for the outstanding loan. In addition, the judge awarded that the costs of the appeal, fixed at S$18,000, were awarded to OMI and AAM.
