So, Ri3K has finally been sold to the Qatar Financial Centre. This announcement has come ‘hot on the heels’ of the panel debate at the recent Insurance Day Technology Forum on whether the emerging markets, including of course Qatar, will pose a threat to London based on their better use of technology.

As a panel member I made the observation that any new hubs, such as Qatar or New York, would inevitably be based on an electronic model. Qatar had already ‘put a stake in the ground’ by declaring from the outset its intention to utilise an electronic model and its acquisition of Ri3K has clearly been another step to meeting that objective. 

Qatarlyst said its ownership of RI3K will "help to accelerate the development of the Qatar Financial Centre in its declared ambition to become a leading hub for reinsurance in the GCC region and beyond". Whether it does meet its ambition only time will tell, but will the possibility of this serve to keep London on its toes?
James Sutherland, CEO of Qatarlyst, explained that one of his priorities will be to merge the two businesses and win new customers to the platform. "We support the London Market Reform agenda and our aim is to win over all the major brokers and risk assumers in the London market to using the single Qatarlyst platform to facilitate their business."

Back to the panel debate where one of the views was that the human resources capital that London has will serve to keep it ahead. However, Sutherland - the former Lloyd's of London executive - added: "This acquisition is a good strategic fit both technologically and geographically for Qatarlyst, giving us access to the key London and international markets. Our ambition is to become the single e-platform that supports existing distribution channels and markets with the next generation support tool for placement, claims and accounting workflows between counterparties." Is this a way the emerging markets can harness that human resource capital?
This is still of course all statements of ambition and just because Ri3K has a new owner does not necessarily mean that it will attract more ‘critical mass’, but it is clear that the intent of the emerging markets is developing as I predicted it would during the panel debate and that London can not afford to take its foot off the accelerator when driving through its reform programme. Also, those aspects of modernisation that are still seen as too culturally sensitive (namely electronic placing) should remain on the agenda in order to keep London competitive.