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PROVEN gets FSC nod

Published:Wednesday | May 5, 2010 | 12:00 AM
Chris Williams, president and chief executive officer of PROVEN Management Limited. - File

PROVEN Management Limited (PML) has been granted its securities dealer's licence by the Financial Services Commission (FSC), paving the way for the company to launch more aggressively into business.

"We were given a verbal con-firmation on Thursday that approval was granted by the FSC board at its last meeting," said Christopher Williams chief executive officer of PML.

Williams said the FSC nod allows his company to expand its revenue streams beyond portfolio management in brokerage services.

"We still have a very con-servative approach to the invest-ment of our capital as our invest-ment team gets its feet on the ground and we expect to remain that way for the short term," he told Wednesday Business.

Asked for confirmation, the FSC said it does not comment on undivided companies.

Under PROVEN's structure, PML will conduct business on behalf of PROVEN Investment Limited (PIL) for which it will be paid a 25 per cent fee.

PML is an associated company of PIL, and not a subsidiary, Williams emphasized.

Williams said he will now be moving to build out a more thorough business model in investment advisory services, and plans to eventually position PROVEN as a leader in off-balance-sheet products and services.

"It now allows us to develop our investment banking competence which is already beginning to generate revenue for us," said Williams.

"Hopefully this will result in a strong P&L account."

PROVEN now operates in the area of tradable securities, mainly fixed income with a low risk co-efficient, said Williams, and does not expect to take on any debt or equity positions in the near term.

"We are a young company and looking to compete going forward, but intend to remain a niche player developing a high net-worth client market in the brokerage and portfolio management services," said Williams.

PROVEN became operational in March after PIL's partners - Peter Bunting, Senator Mark Golding, Garfield Sinclair and Williams - raised capital of US$20 million from a 200 million share offer that was taken up by 140-150 private individual and institutional investors.