The advisers will serve domestic customers based in Singapore and will provide advice on both Aviva products and those from other trusted providers.
The new business will complement Aviva-subsidiary Friends Provident International’s presence in Singapore, which targets high-net worth individuals and expatriates.
The new venture, however, is likely to compete with the Nexus Group. In September 2015, Zurich transferred its 160-strong adviser network to the Middle East-based group, which is also targetting Singapore’s domestic market.
The approximately 280 financial advisers are a mix of new and previously tied advisers, Aviva Singapore confirmed to International Adviser.
The financial adviser channel in Singapore has grown consistently over the last decade, the company said. The market share at the end of 2015 was 20%. In comparison, the tied agency channel has declined steadily from 68% in 2006 to 39% in 2015.
Nishit Majmudar, chief executive of Aviva Singapore, said: “At Aviva, we are very excited about the launch of Aviva Financial Advisers. We hope this move will provide the catalyst for the shift of Singapore’s insurance industry towards more mature markets such as the UK and Australia, where most financial advisers offer solutions from multiple product providers. We believe customers will benefit from greater options to meet their needs.”
The launch of Aviva Financial Advisers is aligned with the company’s compareFIRST web aggregator offering, which allows consumers to quickly compare the features and premiums of similar life insurance products offered by difference companies.
In addition to a comprehensive suite of Aviva solutions across life, health and general insurance as well as investment products, Aviva Financial Advisers will provide customers more choices with access to an extensive range of products from other trusted providers.
Financial advisory domination
Majmudar added: “The launch of Aviva Financial Advisers marks an important milestone for Aviva, and signals our strong conviction that the financial advisory channel will dominate the future of insurance. Among all distribution channels, financial advisory firms are best placed to deliver quality holistic financial planning services to their customers.”