Meyado Private Wealth Management Singapore has struck a deal with locally-based advice firm International Financial Services (IFS) to take over its client book to enable the firm to leave the market.
The deal was first announced in August, with a highly-placed Meyado source confirming to International Adviser that the firm was “currently in discussion with IFS” but that “no formal agreements” were in place at that time.
On 8 October, Meyado confirmed on its website that the deal would go ahead.
The firm has agreed to purchase only the client book of IFS and will continue to trade and service clients under the name Meyado Private Wealth Management Singapore.
No financial details were disclosed.
Orderly exit
Mark Paine, chief executive of Meyado, said: “This agreement is a win-win. IFS clients will become part of a growing, dynamic organisation and will receive top-notch service for years to come, and IFS will be able to exit the Singapore market in an orderly fashion, with a seamless transition of clients.”
He said the deal makes Meyado “the largest independent financial adviser in SE Asia”.
No dates were given for IFS’ departure from the Lion City. The firm also operates in Hong Kong and Qatar. There is no indication that the deal impacts the company’s offices in those jurisdictions.
According to the Monetary Authority of Singapore (Mas) website on 15 October, IFS still holds an exempt insurance broker licence.
Legal woes
The decision to leave Singapore followed a protracted legal case between IFS and Old Mutual International and its local advice firm AAM Advisory.
OMI loaned money to IFS, which was not repaid. IFS protested that a breach of confidence, in which its staff were made privy to the loan, meant that the terms of the agreement were nullified and it did not have to repay the money.
A judge disagreed in May 2018, awarding the costs of the appeal to OMI and AAM in addition to the outstanding sum.
Three months later, an email was sent to IFS clients informing them of the deal with Meyado.
IFS chief executive Chris Ivinson added: “Meyado and IFS share a similar ethos and client servicing mantra. We think Meyado is the best adviser in Singapore to provide our clients with the level of service they’ve come to expect.”
