BVI

Executive Summary: The economy is highly dependent on tourism and financial services. The BVI has significant mutual fund and captive insurance sectors. The Financial Services Commission ensures independent and effective supervision of financial institutions. The BVI is a reasonably cheap jurisdiction compared to competing Caribbean countries, and has relatively strong professional services. The government is responsive to the country business needs, and its legislation is mostly flexible and straightforward. No-tax offshore vehicles (IBCs) are available, and domestic taxes are not high in any event. The BVI has emerged as a leader in emerging market corporate finance. COUNTRY: BRITISH VIRGIN ISLANDS...

EXPERT INSIGHTS 2020

Q: Why is the BVI the pre-eminent finance centre through which Chinese investors structure foreign investment? As the prime Caribbean incorporation centre, the BVI has a significant professional services infrastructure with leading international legal, accounting and trust companies present on the island. Many such firms have offices in Hong Kong and mainland China to facilitate business locally.  The BVI international business companies legislation dates from 1984 and is well understood by financial institutions around the world. The combination of reliable company law and fiscal neutrality presents an ideal platform for cross border trade and investment. Q: What are the most popular...

EXPERT INSIGHTS 2020

When was trust law introduced in your jurisdiction? The British Virgin Islands (BVI) is a well-respected and sophisticated jurisdiction for the establishment of trusts.  The general principles of BVI trust law are derived from those of English trust law as developed by the English courts of equity.  Indeed, the principles of English common law and equity can be applied directly in the BVI by virtue of the Common Law (Declaration of Application) Act 1705 and the Eastern Caribbean Supreme Court (Virgin Islands) Act, as supplemented or modified by specific statutory provisions to offer a variety of flexible and user-friendly trust...

EXPERT INSIGHTS 2020

By Christopher SimpsonThe British Virgin Islands Financial Services Commission (FSC) has recently recognised Asia-based Fusang Exchange Ltd as its first digital securities and asset exchange. The Exchange was recognised by way of an amendment to the British Virgin Islands Regulatory Code (Recognised Exchanges) Notice, 2015, and took effect on January 5, 2022. The recognition paves the way for Asian-based, BVI-registered companies to benefit from the efficiencies of listing their shares digitally via equity tokens.Fusang joins other leading global exchanges such as the London Stock Exchange, the New York Stock Exchange, the Tokyo Stock Exchange, and the Toronto Stock Exchange, which...

PRIVATE & INTERNATIONAL BANKING NEWS 2022

With inflationary pressures coming to the fore in certain areas of the global economy and the continuing impact of Covid-19, there are many important and urgent issues to discuss. In our capacity as offshore legal advisers, we wanted to highlight some of the features from our Investment Funds/M&A and Finance practice from 2021 which we think will continue to trend in 2022, subject to global economic pressures, the recovery from the impact of the pandemic and the economic fallout from the developing conflict in Ukraine.  Series Financing: Many of the legal developments and client trends in 2021 will continue to...

FUNDS & FUNDS SERVICES EXPERT INSIGHTS 2022

Features of the Incubator Fund  The BVI’s Securities and Investment Business (Incubator and Approved Funds) Regulations, 2015  (the “Regulations”) introduced the "Incubator Fund” which provides a streamlined basis for start-up investment managers to establish a track record of managing funds with an open-ended strategy. The Incubator Fund regime under the Regulations does not have some of the more stringent requirements that are found with the more established investment fund options (such as Professional Funds, Private Funds, or Public Funds) under BVI law.   The key features of an Incubator Fund are:   - Limited to a total of 20 Investors (Sophisticated Private...

FUNDS & FUNDS SERVICES EXPERT INSIGHTS 2022

By Bank of Asia   Mrs. Lorna Smith, OBE welcomed the Bank's guests on behalf of its Chairman, Mr. Carson Wen, and the other members of the Board of Directors.   Chairman of BVI Finance and Regional Managing Director of Trident, Mr. Nick Bishop in his brief remarks, expressed his pleasure and gratitude that the principals of Bank of Asia had taken the decision to open a bank in the BVI. He considered the advent of the Bank of Asia to be a positive story and encouraged the industry to support the Bank.   President of the Bank Ms. Lisa...

PRIVATE & INTERNATIONAL BANKING NEWS 2021

By Christopher Copper-Ind   The British Virgin Islands (BVI) has formally announced plans to create a publicly accessible register of company ownership by 2023 in an effort to clamp down on corruption. The long-awaited announcement follows years of scandals relating to money-laundering and tax evasion involving BVI-based shell companies, most recently the FinCen Files.   As reported by International Investment last month, the BVI premier announced its commitment to the implementation of public registers of beneficial ownership in the territory, albeit with "reservations".   This [is a] positive step towards greater transparency and clarity of corporate structures, which should help stem the flow...

CORPORATE & FIDUCIARY NEWS 2020

Executive Summary: The economy is highly dependent on tourism and financial services. The BVI has significant mutual fund and captive insurance sectors. The Financial Services Commission ensures independent and effective supervision of financial institutions. The BVI is a reasonably cheap jurisdiction compared to competing Caribbean countries, and has relatively strong professional services. The government is responsive to the country business needs, and its legislation is mostly flexible and straightforward. No-tax offshore vehicles (IBCs) are available, and domestic taxes are not high in any event. The BVI has emerged as a leader in emerging market corporate finance. COUNTRY: BRITISH VIRGIN ISLANDS...

FUNDS & FUNDS SERVICES OVERVIEW - EXECUTIVE SUMMARY 2020

Country:                                British Virgin Islands Region:                                   Caribbean Currency:                              US dollar (USD) (US$) Languages:                English Time Zone:                 UTC -4 Phone Code:              +1284 Communications:      Good  The economy is highly dependent on tourism and financial services. The BVI has significant mutual fund and captive insurance sectors. The Financial Services Commission ensures independent and effective supervision of financial institutions. The BVI is a cost-effective jurisdiction compared to competing Caribbean countries, and has relatively strong professional services. The government is responsive to the country’s business needs, and its legislation is mostly flexible and straightforward.Tax-neutral offshore vehicles (e.g. BCs) are...

2019

Four Chinese tycoons transferred more than $17 billion of their wealth into family trusts late last year, underscoring how the rich are scrambling to protect their fortunes from the nation’s newly toughened tax regime. The latest example came from billionaire Sun Hongbin, chairman of real-estate developer Sunac China Holdings Ltd., who disclosed in a filing in Hong Kong on Jan. 12 that he shifted most of his stake in the company to South Dakota Trust Co. on Dec. 31. Longfor Group Holdings Ltd.Chairwoman Wu Yajun, one of China’s richest women, made a similar move in recent weeks, as did the wealthy magnates behind food distributors Dali Foods Group Co. and Zhou...

CORPORATE & FIDUCIARY NEWS 2019