The Isle of Man-based company said the new division will be led by sales director Richard Leeson and has been designed to provide UK advisers dealing with offshore products with an “enhanced level of technical service”, particularly in anticipation of the implementation of the Retail Distribution Review on 1 Jan next year.
Axa said this “enhanced service” will be backed by the employment of new staff for the offshore division and telephone support for offshore accounts.
In addition, Axa Wealth International said a new offshore proposition team has been created which will be overseen by former Acuity Consultants director Simon Willoughby, who joins the company as head of offshore proposition.
Bryan Low, Willoughby’s former co-director at Acuity, said for the consultancy it will be “business as usual” and he is pleased his former colleague has been given this opportunity.
“We have worked together across the last 10 years to establish Acuity as a leading cross-border consultancy firm and I know that AXA will benefit from his insight and experience,” said Low.
“For Acuity it is business as usual as we focus on our work with some of the leading cross-border life and asset management companies.”
Axa said Willoughby, who left Acuity at the end of June, will be responsible for “all proposition aspects including product innovation and marketing”.
Axa’s decision to focus more heavily on the offshore comes a month after International Adviser revealed sales of offshore bonds had dropped by 25% in the first quarter of this year, when compared with the first quarter of 2011.
At the time, industry observers said, aside from economic pressures, some advisers and their clients may be considering alternatives to offshore bonds in response to the removal of commissions which will be brought in with the RDR.
Mike Foy, managing director of Axa Wealth International acknowledged the challenges which will be thrown up by the RDR.
“Creating a distinct offshore sales focus demonstrates Axa Wealth’s long term commitment to the offshore market.
“It is essential given the changes anticipated as a result of the RDR and how the offshore market continues to evolve from a distribution and service proposition perspective,” said Foy.
“Additionally, Simon’s broad range of experience in delivering business solutions across a variety of jurisdictions will be a major asset as we continue the strategic development of our business.”
