Asset management companies Vanguard and Merian Global Investors have both been granted approval to open offices in Dublin, as more fund managers look to implement their Brexit contingency plans, it was announced last night.
Both firms have received approval from the Irish financial regulator to set up management companies in Dublin, and confirmed their intentions as a growing list of companies express concern at the continuing uncertainty surrounding Britain's withdrawal from the EU.
Vanguard, which manages $5.3tn in assets internationally, is the world's second biggest asset manager. Merian Global Investors, meanwhile, was launched last summer by Richard Buxton, and is a spin-off from Old Mutual's restructuring this year.
The ongoing lack of clarity from Westminster is adding to the sense of foreboding at the lack of progress surrounding the Brexit deal. In addition to Vanguard and Merian, several other British companies have already chosen Dublin as their location for servicing EU clients following Brexit early next year. These include Standard Life Aberdeen, Legal and General Investment Management and State Street. M&G, Columbia Threadneedle and T Rowe Price are among the fund managers that have opted for Luxembourg for the European offices.
Vanguard's Dublin office will open early next year with a staff of ten, according to the FT. Richard Wane, who is relocating from Singapore, will head up the team.
Sean Hegarty, head of Europe at Vanguard, commented: "Clearly, in the present environment, there will be speculation relating to Brexit. The opening of our Irish office is something we have been considering for a number of years, and should be understood as part of our wider, long-term commitment to lowering the cost and complexity of investing across continental Europe and the UK."
A spokesman for Merian said: "Europe is a core market for Merian Global Investors and will remain so post-Brexit. We are committed to servicing our existing European client base, which is primarily invested in our Ireland-domiciled fund range, and growing assets in the region."