Mortgage Bank, Marsh McLennan in Financial Joint Venture

UK mortgage banker Woolwich plc and Marsh & McLennan (MMC) have agreed to establish a joint venture company that will acquire the business of Sedgwick Financial Services Limited (SFS). MMC acquired SFS when it bought The Sedgwick Group in November 1998.

The new company, called Sedgwick Independent Financial Consultants Limited, will have about 145 Registered Intermediaries targeting corporate and business clients. It will complement The Woolwich's existing financial advisory business, Woolwich Independent Financial Advisory Services (WIFAS), which has more than 200 Registered Intermediaries advising personal clients gained predominantly through the bank's branch network.

A spokesman for MMC, David Strauss, who will be a director of the new company, said, "Woolwich is a strong company with a clear strategy and has shown that it can run a successful IFA business. The joint venture offers the opportunity to maintain relationships with corporate clients and professional connections and to share expertise and best practice."

Lynne Peacock, Woolwich group operations director, said, "The joint venture will help to ensure that for clients the change of ownership will be seamless. For The Woolwich, it provides the opportunity to develop an IFA business that will be complementary to WIFAS, providing access to corporate and professional markets and greatly increasing our presence in the IFA sector."

The managing director of Sedgwick Independent Financial Consultants will be John Dick, currently one of The Woolwich's three divisional managers with responsibility for its branch network.

Approval has been sought from the Personal Investment Authority. Sedgwick Financial Services will continue to trade without change until the application for Sedgwick Independent Financial Consultants is determined.