The company last week received a licence from the Dubai Financial Services Authority to open a branch of Standard Life International within the Dubai International Finance Centre. The move follows Standard Life’s entrance into the Southeast Asian market in October when it opened in Singapore.
The DIFC licence it was granted is an insurance intermediary licence which allows the Dubai company to act as an intermediary between financial advisers and its Ireland-domiciled insurance company, Standard Life International.
Many of the company’s competitors hold an ‘onshore’ Insurance Authority licence, however there is currently an embargo on those licences. Standard Life did say it would continue to engage with the local regulators, adding it would be its intention at some point to gain an onshore licence as well.
Led by regional chief executive Chris Divito, Standard Life said as with Singapore it would be targeting two main client groups – Western expatriates and the non-resident Indian market. The two main products it will be selling are the SL Capital Investment Bond and Capital Distribution Bond.
Alan Armitage, international take-to-market director at Standard Life, said, while the company is obviously new to the UAE, its name will already be familiar to the NRI advisers.
“We are relatively well known in Dubai because of our joint ventures in India with HDFC Life and HDFC Asset Management, as HDFC also has a branch in Dubai,” said Armitage. “In fact, one of the products we will be aiming to get to the Dubai market in the near future is a domestic Indian Equity Fund which will be managed by HDFC Asset Management.”
Nathan Parnaby, chief executive, Asia and emerging markets, Standard Life said: “Our long-term vision within the Middle East is to build a leading retail savings and investments business. Building on the strength of our existing relationships with customers and distribution partners, Standard Life International Limited will be at the centre stage of our regional business strategy. This is a timely yet strategic development for the company’s emerging markets business.
“This new office will principally address the growing needs of Dubai-based clients through an intermediated business model. We are confident of strong growth as there is high demand within the region for established and trusted brands like Standard Life to deliver leading savings and investment solutions.”
Standard Life’s current businesses within Asia and emerging markets include its retail investments business which operates out of Hong Kong and Singapore, as well as its life and asset management joint venture businesses in China and India.
