Convergence of financial services presents opportunities for remisiers

They can diversify into other areas, like wealth management, say market watchers

- Chor Khieng Yuit

Stock brokerages need to transform as they grapple with changes across the financial sector, said PhillipCapital founder and executive chairman Lim Hua Min.

Mr Lim noted that brokerages, banks and other financial services are converging, blurring the lines that have marked out these operations and creating new opportunities in the process.

Remisiers, for example, could move between different financial activities and diversify into other areas to work as personalised fund managers.

"I see the increasing convergence of services," said Mr Lim, who has certainly seen his fair share of changes in the stockbroking industry as well as market crises like the collapse of Pan-Electric Industries, a marine salvage, hotel and property conglomerate.

The Pan-Electric saga prompted the then Stock Exchange of Singapore to close for the first time ever for three days in December 1985.

"Brokerages will always be around, but stockbrokers might not. Banking will always be around, but banks might not. Insurance will always be around, but insurance companies might not," he said, adding that a financial group can now provide all these services under one roof.

Mr Lim was speaking at an event at Fullerton Hotel on April 23 to mark PhillipCapital's 50th anniversary.

His son Luke, who is managing director of Phillip Securities, said that the firm now has more remisiers who are cross-trained in wealth management.

An individual can be both a remisier and a financial adviser if he has the necessary qualifications and licences.