I am sure that many readers have received unsolicited calls from various financial sales companies, claiming their details were passed on by a friend who thought they would be interested in buying certain products. This kind of hard sell is both unprofessional and unwanted.

Banks and other institutions regulated by the UAE Central Bank have been banned from cold calling customers to market loans and investment products. The unexpected ban, which took effect on 20th March, has surprised quite a few financial companies who work in this way, but does not apply to financial advisory firms that are licensed by the UAE’s Insurance Authority. The circular does not mention fines or any other punishments for those who flout the ban, but it is to be hoped that action will be taken by the Central Bank.

It is generally believed that the Central Bank was responding to numerous complaints from UAE residents about the number and manner of cold calling practised by banks keen to sell products and services, although there are probably as almost as many complaints about broker firms. I hope that in time the Insurance Authority will issue a similar directive.

It is my opinion that professional advisers do not, and should not, cold call to obtain clients. It is against company policy at Holborn Assets to do this and all my clients are referred to me or find via this site, my newspaper column or radio broadcasts.