Investors of Barjeel Geojit Securities LLC, a leading UAE-based provider of financial services, are to benefit by way of best practices, global products and technology, as a result of the recent partnership between major Indian brokerage Geojit Financial Services Ltd and BNP Paribas Personal Investors.
The Geojit-BNP Paribas partnership was formalized in India in March this year when the leading French banking group acquired shares in Geojit Financial Services Ltd, the parent company of Barjeel Geojit Securities, and became its single largest shareholder with a holding of 27.18% which will go up to 34.35%. The company is in the process of being rechristened 'Geojit BNP Paribas Financial Services Limited' in India.
The plans for providing wider investment options for Barjeel Geojit’s customers using the global expertise of BNP Paribas Personal Investors unit, were announced at a joint press conference addressed by H.E. Sheikh Sultan bin Saud Al Qassimi, chairman of Barjeel Geojit Securities, Mr. Olivier Le Grand, chairman of BNP Paribas Personal Investors and Mr. C. J. George, Managing Director of Geojit Financial Services Limited.
“The access to BNP Paribas expertise will naturally take Barjeel Geojit Securities into a new league, enabling us to provide our investors with opportunities and advice on investing in international markets,” said H.E. Shaikh Sultan bin Saud Al Qassimi. “Our customers will benefit strongly from BNP Paribas’ best practices, global products and technology “.
Sheikh Sultan announced that Mr. Jean Christophe Gougeon, from BNP Paribas, had joined the Board of Barjeel Geojit Securities as of 14th May, 2007, further cementing the partnership.
Mr. Olivier Le Grand, chairman of BNP Paribas Personal Investors, said: “We expect to tap the large affluent customer base of Barjeel to invest in foreign markets guided by our expertise. We are delighted to associate with Barjeel Geojit Securities and we believe this development represents a dynamic new opportunity for Gulf investors to venture into global investing with professional help.”
Mr. C. J. George, Managing Director of Geojit Financial Services Limited, commented: “Non-resident Indians are displaying a growing appetite for overseas investments. As our partner in the Gulf, Barjeel Geojit Securities has been providing great investment opportunities to Gulf investors. Now, with BNP Paribas, Barjeel Geojit is set to offer a well-rounded portfolio of international investment offerings.”
Barjeel Geojit Securities, launched in 2001 as a joint venture between UAE-based Al Saud Company and Geojit Financial Services, has obtained broker membership on the Dubai Gold and Commodities Exchange (DGCX). Barjeel Geojit is the largest mobiliser of investments in Indian mutual funds from the UAE and provides a number of services in the financial services space, including direct access to stock markets in India and the US, online trading and investments in Indian and off shore mutual funds. It has branches in Dubai, Sharjah, Abu Dhabi and Muscat, and has plans to open new branches in Ras Al Khaimah and Fujairah.
Geojit Financial Services offers brokerage services for equities, derivatives and commodities, financial savings products (mutual funds, life insurance, programmed savings plans) and a portfolio management service, mainly to private customers. Founded by Mr. C. J. George in 1987, Geojit Financial Services is listed in India on the National Stock Exchange and the Bombay Stock Exchange. It has a network of over 400 offices and Rs 6,000 crore of assets for a unique client base of 250,000. It is now setting up another retail brokerage company in Saudi Arabia after getting license from Capital Market Authority.
BNP Paribas, which posted a profit of Euros 7.3 billion in 2006, is the sixth largest banking brand in the world, according to Forbes’ Magazine. Its market capitalization is Euro 87 billion (15/05/07) and is active in 4 business lines: French Retail Banking, International Retail Banking & Financial Services, Corporate Banking & Investments and Asset Management Services. Present in the UAE since the last 25 years, BNP Paribas is active in Corporate & Investment Banking and Asset Management & Services.
Already present in India through its Corporate & Investment Banking, Private Banking, Life Insurance (joint-venture SBI Life) and Asset Management (joint-venture Sundaram BNP Paribas) activities, BNP Paribas has found in Geojit a strong trading and distribution platform in a fast growing market. Geojit will benefit from the BNP Paribas’ experience in savings distribution (investment funds, life insurance), cross-selling, discretionary management of stocks and multi-channel distribution.
BNP Paribas Personal Investors is dedicated to providing financial investment advice to a mass-affluent clientele in Europe and several emerging countries through various distribution channels (Internet, telephone and face-to-face). BNP Paribas Personal Investors operates in Europe through Cortal Consors, the leading broker in personal investing and online trading, which offers a complete range of products and investment services through various distribution channels. Cortal Consors operates in 5 European countries: Germany, France, Belgium, Spain and Luxemburg. B*capital, a Cortal Consors brokerage firm, offers private investors wishing to manage their own portfolio information and personalized consulting and management under mandate services.
Caption: Sheikh Sultan bin Saud Al Qassimi (centre), with Mr. Olivier Le Grand, Mr. C. J. George, Krishnan Ramachandran and K.V. Shamsudheen, at a press conference in Dubai.
