Securities firms target commercial presence at WTO

By Jonathan Lynn

GENEVA, April 21 (Reuters) - Securities firms are focusing on the right to have a commercial presence in developing countries to serve sophisticated investors, as global trade talks hot up, an adviser to the industry said on Monday.

John Weekes of lawyers Sidley Austin, who provides advice to internationally active securities firms, said there were good prospects to move ahead at the World Trade Organisation (WTO) with proposals from the firms.

For securities firms the priority is commercial presence -- the right to establish or acquire an operation to serve local customers -- known in services trade jargon as "mode 3".

"They're not looking to sell into the retail market, but looking at sophisticated institutional clients or high net worth individuals," Weekes told Reuters.

The industry is not seeking a uniform definition of sophisticated investor, but this would be up to different countries to define, said Weekes, a former Canadian ambassador to the WTO.

Lobbyists from the services sector said last week that they were encouraged by progress in talks on services at the WTO. They said their key demands in financial services involved liberalisation in Brazil, China and India.

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