- NORMAN GRINDLEY/Staff Photographer
Mitchell: We have to try at all times to deliver that level of service to help create wealth while understanding the client's risk tolerance.
Dennise Williams, Staff Reporter
WITH A quiet, purposeful demeanour, Lissant Mitchell, assistant vice-president of treasury and capital markets at Pan Caribbean Financial Services (PCFS), has been able to navigate the seas of the financial services sector throughout the turbulent 1990s and into the relative calm of current days.
A Wolmer's old boy, Mr. Mitchell was born in 1971. He has lived in Jones Town, Slipe district in St. Elizabeth, Portmore, and eventually settled in St. Andrew. And during his early years, a love of accounting transformed into a passion for finance that still exists today.
Having come into the sector fresh from university, Mr. Mitchell was right on time to see the local stock market ride to record highs.
"In 1992, I went to work for Prudential Stockbrokers, a (now defunct) subsidiary of ICWI as a financial analyst. My job entailed scrutinising the financial make-up of the economy and individual companies. When I began working there the stock market was souring. It was a time of a number of share offerings, such as Berger Paints, Caribbean Cement and Caribbean Steel (now delisted). The stock market was very active. And during my time at Prudential I was exposed to the trading at the exchange itself."
FINDING A NICHE
By 1993, the stock market crashed, partly precipitated by the high interest rate regime that was designed to defend the dollar.
So, by the time the interest of the investing public shifted to money market instruments, Mr. Mitchell found himself working at Horizon Group (also now defunct). "There my job transformed from financial analyst to treasury officer." This position exposed him to the management of the bank's cash flow requirement.
From there, Mr. Mitchell's experience in the securities industry was further cemented with a job change to the then fledgling Jamaica Money Market Brokers (JMMB). "I was a senior trader responsible for the day-to-day trading of government paper, bonds, treasury bills and the like from 1995 to 1998."
However, it was at the boutique financial firm of Knutsford Capital that found Mr. Mitchell settling down and finding his niche as treasury and trading manager in 1998. While the company was eventually merged into PCFS, Mr. Mitchell retained the portfolio of managing securities trading and treasury. This encompasses foreign exchange trading, securities trading such as bonds, and managing the funding requirement for PCFS.
And part of Mr. Mitchell's success at PCFS is the team he works with. "For me, teamwork is not just a word. The guys who work with me are great. From my supervisors to the team I manage, it is a very supportive environment. I have seen the benefit of teamwork."
Having worked at such divergent financial houses has given Mr. Mitchell valuable lessons. He tells the Financial Gleaner that he has evolved into a more open-minded individual.
"The exposure to different micro environments you get at the different firms allows you to appreciate the entire financial landscape. One of the most important things that
I learn is that strategy is very important. At JMMB their strategy was x. At Pan Caribbean, our strategy is y. Just because they have different strategies, that doesn't make one wrong or right. It is about the vision each company has. So I have learned to be more open to suggestions and not to dismiss other person's ideas."
And as the financial landscape has changed, Mr. Mitchell has adapted to the new environment. First, he improved himself through an MBA from the University of Manchester. And this was done because employers demanded a higher level of sophistication and understanding of the financial sector in short, he had to be prepared.
EXCEEDING EXPECTATIONS
"In the late 1990s, the mindset of investors was 'Is this company safe? Can I get my money back?' For clients, stability was the watchword. Now, clients are more sophisticated. There is a greater access to information and customers have educated themselves about the financial markets."
With clients demanding more, the challenge for Mr. Mitchell and his organisation is to meet and exceed expectations.
"In my mind, we have to try at all times to deliver that level of service to help create wealth while understanding the client's risk tolerance. Additionally, we have to differentiate ourselves from our competitors. I mean, the products and services that we sell are pretty much homogenous. It is the customer loyalty and our track record of honouring commitments that will set us apart from the rest of the industry."
NEED FOR TEAMWORK
And while aware of the competitive nature of the financial services industry, there is still a need to work together. In that light, Mr. Mitchell was recently elected as president of the Primary Dealers Association (PDA).
Primary dealers are institutions designated by the Bank of Jamaica (BoJ) to buy securities directly from the central bank. While any institution or individual can buy securities issued by the BoJ, such as Treasury Bills, they usually have to go through the primary dealers. Hence, primary dealers hold a special place in the industry as either middlemen or direct purchasers. Therefore, part of Mr. Mitchell's job as president is to "enhance the role of the primary dealers with the central bank and the other securities dealers that we work with because we, too, are securities dealers."
Looking forward, Mr. Mitchell sees the year 2005 as one where the securities and equities market will continue to support each other.
"The general concept is that when interest rates go down, the stock market goes up, and vice versa. But my way of thinking is that they complement each other. Even investors in the stock exchange still need bonds and money market instruments to balance their portfolio. In the financial services sector, it is not just one product that satisfies clients' needs."
