PRIVATE & INTERNATIONAL BANKING

While the majority of the world’s working class puts their savings into traditional bank accounts, some seek to diversity their portfolios, turning toward alternative banking methods to both take advantage of tax abatements, deferments and other means of saving as much as possible over one’s lifespan so he/she can enjoy retirement. These types of alternatives often include opening an individual retirement account (IRA), purchasing United States treasury securities — ranging from 30 days to 52 weeks for treasury bills, two years to 10 years for treasury notes, and 30 years for treasury bonds — high yield bonds, real estate investment...

CORPORATE & FIDUCIARY NEWS 2019

Asia’s ultra-wealthy business elites are facing their biggest challenge – successfully passing on their hard-earned fortunes to the next generation. There’s an old Chinese proverb that states wealth does not pass three generations. Such a sentiment is set to be put to the test at a time when Asian businesses and entrepreneursare cashed up like never before, especially in China. With companies such as China’s Alibaba, Dalian Wanda and Tencent, and India’s Reliance Industries and Wipro becoming commercial powerhouses – and others following in their slipstream – it is no surprise that the number of Asian billionaires is rising.  Indeed, research from UBS...

PRIVATE & INTERNATIONAL BANKING NEWS 2019

Since February 2018 China has had in place the world’s most restrictive policy regarding cryptocurrencies. No initial coin offerings allowed. Cryptocurrency exchanges shut down. Banks banned from dealing in bitcoin (BTC) and retailers from accepting it. While the government, represented by the People’s Bank of China (PBOC), officially frowns upon digital currency, Chinese investors do not; prior to the crackdown, they accounted for 90 percent of the global volume in bitcoin exchanges. So scratch digital currency as a viable tool of China’s monetary policy, right? Wrong. The central bank may be put off by the disruptive way cryptocurrencies like bitcoin operate but it...

PRIVATE & INTERNATIONAL BANKING NEWS 2019

Within the next 20-30 years, between £4-£5 trillion will be passed down to inheritors in Canada, the UK, the US and Australia. If only 10 percent of this wealth went to selected charities, it would have the power to utterly transform the charity sector. Past favourable circumstances have led our Baby Boomers — the post-Second World War generation who have made a significant impact on the economy — to become the wealthiest older generation to date. Now in their late 60's and 70's, the Boomers are poised to transfer an unprecedented amount of wealth to the next generation. The increased...

CORPORATE & FIDUCIARY REPORTS 2019

Wealthy Chinese are rushing to shelter assets and income in overseas trusts before new tax rules go into effect next month, including provisions that target offshore holdings. The Bank of Singapore has seen a 35 percent surge in Chinese clients interested in offshore trusts since the second half of 2018, according to Woon Shiu Lee, head of wealth planning at the bank. The rate of inquiries leading to the establishment of a trust, which offers “tax-planning opportunities” by giving ownership to third-party trustees, has doubled since August, he said.  The reforms, which take effect Jan. 1, are meant to reduce the tax burden on...

CORPORATE & FIDUCIARY NEWS 2019

For Western wealth managers eager to feast on the China market, Wan Long qualifies as prime red meat. Known as China’s “No. 1 butcher,” Wan is the billionaire chairman and chief executive of WH Group, the world’s largest pig slaughterer and pork processor. And nearing 80, Wan is surely weighing how to preserve his vast wealth for family and favorite causes. But a web of regulations in Chinese financial services keeps potential clients like Wan largely, tantalizingly, out of reach of foreign wealth managers. The rules make it almost impossible to deal directly with customers on China’s mainland, forcing foreign...

FUNDS & FUNDS SERVICES NEWS 2019

The more money you make, the more taxes you pay — right? Not necessarily. While the U.S. tax code is structured so that high earners pay a higher tax rate, the ultra-wealthy often take advantage of laws that enable them to lower their effective tax rate. "In general, America's wealthy are different when it comes to tax planning because of the options they may have with categorizing the assets they hold," said Ron Carson, founder and CEO of Carson Group and co-author of "Avalanche: The 9 Principles for Uncovering True Wealth." "Their net worth often presents opportunities when tax planning...

CORPORATE & FIDUCIARY NEWS 2019