On 18 June, Holborn in Dubai announced it had entered an “exclusive strategic partnership” with CGWM to provide discretionary portfolio management services.
Riyad Adamou, chief commercial officer for Holborn, said of the relationship: “After months of hard work, we are delighted to finally be able to announce our partnership with CGWM.
“There are no additional costs for clients, no management fee and no entry fee.”
On the same day as the Canaccord announcement, the Insurance Authority wrote to all IA-regulated life companies in the UAE informing them it had suspended Holborn’s ability to operate as an intermediary for three months, or until it changes its performance.
The IA ordered the life companies not to deal with Holborn Assets Insurance Brokers “until further decisions are made” by the authority, International Adviser exclusively revealed on 27 June. It did not expressly state what Holborn Assets had done to incur the sanction other than saying it was in violation of 2013 rules for insurance brokers.
Canaccord statement
A spokesperson for CGWM told International Adviser: “Canaccord Genuity Wealth Management has worked with Holborn Assets in the UAE for over a decade.
“In light of the regulatory action, we are keeping the matter under review and look forward to the conclusion of the regulator’s findings.”
The recent action by the IA against Holborn Assets came not long after it signed a cooperation deal with the other main regulator of the financial markets in the UAE, the Securities and Commodities Authority (SCA).
The partnership will see it work more closely on supervising the insurance market, among other sectors, and may signal a tougher stance by the regulator on insurance product selling practices that have been common in the Gulf nation.
