José Manuel Fonseca, chairman and founder of Brokerslink, comments on the termination of the proposed Aon and Willis Towers Watson merger
The much-talked about merger between Aon and Willis Towers Watson has been a concern for risk managers for some time, but although the industry is yet to understand the full impact of the fall-out, Jose Manuel Fonseca believes this is a victory for competition and for business:
“The change in the US administration has probably driven a major shift in the economic mindset and with it the actions of regulators. The move away from a monopolistic tolerant approach to the creating of greater market competition has inevitably had a role to play in the termination of the deal. It’s in a way a victory for competition and for business.
“Creating value from M&A needs to look beyond pure shareholder benefits. It must be the trigger for innovation, liberating talent, new ideas and products offering alternative solutions to the traditional markets.
“Risk managers had expressed concern about the value and potential impact that the merger would have created in terms of choice. Whether this changes now that the deal is not proceeding will be closely watched by the profession.
“We are in a dynamic global broking landscape that has evolved, in part, because of the proposed merger. We have seen new players, brokers investing in expanding their geographic footprint and the movement of talent between competitors. Greater competition and market disruption has no doubt created opportunities and Brokerslink has seen an expansion of its network and recognition of the importance of a truly independent global broking alternative.“
