Equiom is an international professional services provider with a strong presence in Europe, Asia, the Middle East and the Americas. The company specialises in providing bespoke solutions to both private and corporate clients to assist with all of their financial planning and wealth protection requirements. Here, Richard Tribe, Head of Equiom Private Office and Laura Brown, Senior Manager, Equiom Jersey discuss what’s involved in offering a premium service to clients.
What are the typical challenges that clients approach Equiom with in relation to the management of their finances?
Richard Tribe: Equiom Private Office deals with the more complex wealth structuring cases, where clients are seeking completely bespoke solutions.Typically this would involve a wide range of assets, often spread internationally, that perhaps need consolidating into a structure (typically a trust or foundation) that both protects the assets and affords sensible future succession planning.
Laura Brown: Confidentiality is another consideration. Many of our clients are residents in countries where significant wealth can be a security issue and so, utilising suitable structures can reduce, or remove, such concerns. Of course, the clients are always fully aware of their obligations around full disclosure and transparency for tax reporting purposes, and we work very closely with their legal and tax advisers to ensure any structuring is compliant and fit for purpose.
Can you outline the process you go through to assess your clients’ current financial situation and assist them with identifying financial goals and concerns?
Richard Tribe: We are often asked to review a client’s current situation, which can be quite an involved process. If there are structures already in existence, these will need to be looked at carefully to ensure they are still providing suitable protection. Then, we will discuss with the client their future plans and requirements, and ultimately determine how best we can achieve their goals.
Laura Brown: The concerns of wealthy families are often very similar, regardless of their nationality. As mentioned previously, protecting the family wealth is often the main priority, but educating existing and future generations is always an important consideration, as is philanthropy. We are seeing more and more families who want to give something back to society and so part of our remit is to work with them to put suitable plans into operation. Impact investing is gaining real momentum at the moment and a lot of my clients are increasingly interested in structuring part of their wealth into these areas.
Tell us about Equiom’s Private Office services. What is the typical client that they are aimed at?
Richard Tribe: Equiom Private Office (EPO) was launched earlier this year. It is not a product offering, but more specifically a specialist team dedicated to providing clients with the highest levels of professionalism and personal service. Once we understand the client needs, we can draw on the variety of expertise across the entire Equiom Group to establish the most appropriate team to provide the optimal solution. Transparency and trust are fundamental to this approach and these are established through building a deep understanding of clients’ needs and their ongoing objectives. EPO has been very well-received in the market as it is an entirely unique approach, which I believe is unmatched among other service providers.
What are the most common tax planning solutions that you offer to your clients?
Laura Brown: When sitting down with both current and prospective clients to discuss their requirements in terms of wealth and estate planning, we first have to consider the tax implications both in Jersey and in any other jurisdictions where the client resides or holds assets. Where a client is considered tax resident is an important consideration, as is where a client is considered domiciled or deemed domiciled. The changes to the UK domicile laws and how UK property is taxed when held in offshore structures, which became effective in April 2017, have had a significant impact on wealth planning for clients who either reside in the UK or hold assets there. Aspects such as these greatly influence the advice we provide to clients.
What options are available for those who want to manage tax on their estate in Jersey?
Richard Tribe: From a Jersey perspective, Equiom can offer a range of solutions to clients who are looking for effective wealth and estate planning options. One such option is a Jersey trust. The trust is Jersey law governed but does not have to have Jersey resident trustees, though in many instances having Jersey resident trustees can be beneficial. The Jersey Government does not levy fees or any other duties when creating a trust or during the life of the trust. In addition to this, Jersey law contains specific provisions which do not comply with forced heirship laws (laws of certain countries which require specific portions of a person’s estate to be left to specified persons). To put this more plainly, a settlor can transfer his or her assets to a Jersey trust during their lifetime and Jersey law will not give effect to any rule of another country relating to inheritance or succession which says that such a transfer is not allowed. This means that a Jersey trust allows the settlor the absolute freedom to decide who will inherit the trust assets.
Laura Brown: Another option is the Jersey Foundation.The Jersey Government enacted the Foundations (Jersey) Law in 2009. Foundations are required to have a charter (which is open to public scrutiny) and a set of regulations (that are private). A foundation is a legal entity that is managed by a council of persons who can be natural persons or corporate bodies though at least one of the council members must be a Jersey regulated entity (known as the qualified member).The foundation has beneficiaries but the Foundations (Jersey) Law stipulates that the foundation council will not owe fiduciary duties to beneficiaries nor will beneficiaries be entitled to information about a foundation’s assets unless the beneficiaries have a vested interest. Jersey foundations have characteristics of both a company and a trust which makes them interesting entities for taxation purposes. A Jersey foundation can be drafted in various ways which affects the tax treatment in different jurisdictions.
About Equiom
Equiom has been advising wealthy families and multi-national businesses for decades. The services we offer have evolved over the years with changing market needs. With a thorough understanding of the current generation and the most experienced professional team across the globe to cater to each individual situation and client, we are well placed to find the optimal solution for our clients’ needs.
For more information on Equiom Private Office or to connect with a member of the team, contact privateoffice@equiomgroup.com.
Website: www.equiomgroup.com
Equiom (Guernsey) Limited and Equiom Trust (Guernsey) Limited are licensed by the Guernsey Financial Services Commission. Equiom (Isle of Man) Limited is licensed by the Isle of Man Financial Services Authority. Equiom (Jersey) Limited is regulated by the Jersey Financial Services Commission. Equiom (Luxembourg) S.A is supervised by the Commission de Surveillance du Secteur Financier (CSSF), the supervisory authority of the Luxembourg financial sector. Equiom (Malta) Limited is authorised to act as a trustee and fiduciary services provider by the Malta Financial Services Authority. Equiom Trust Services Pte. Ltd. is licensed by The Monetary Authority of Singapore. Equiom Trust Services (BVI) Limited is regulated by the British Virgin Islands Financial Services Commission. Equiom S.A.M. is authorised to act as a trustee and fiduciary services provider by the Ministry of Finance in Monaco. Equiom Trust (South Dakota), LLC is licensed in Guernsey by the Guernsey Financial Services Commission and in South Dakota by the South Dakota Division of Banking.
This article has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The article cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information contained therein without obtaining specific professional advice. Please contact Equiom to discuss these matters in the context of your particular circumstance. Equiom Group, its partners, employees and agents do not accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information in this article or for any decision based on it.
Rugged coastline, sandy beaches, beautiful countryside, medieval castles and a world-class food scene. The largest Channel Island, Jersey, is the perfect destination for a long weekend break, although the abundance of cultural and scenic experiences and the genuine friendliness of everyone you meet promise to make you want to book another trip and return there as soon as you’re back home.
If you’re planning a mini trip to Jersey or if you need inspiration for your next weekend getaway this summer, then read on for Finance Monthly’s top recommendations.
How to get there?
Getting from Europe, and especially the UK, to Jersey is ridiculously easy. Flybe operates flights to Jersey from all major British cities, which get you to the picturesque island in approximately an hour. Once you land, grab a Hertz rental car from the arrivals hall and head out into the narrow country lanes.
Where to stay?
With its breath-taking views across St. Ouen’s Bay, stunning outdoor pool and swaying palms, The Atlantic Hotel makes it difficult to believe that all of this is only an hour-long flight from London. With its six acres of grounds that border La Moye Golf Course, along with lush gardens, timelessly elegant interiors and rooms that have either sea or golf-course views, The Atlantic Hotel is Jersey’s answer to beachside luxury.
If you don’t feel like heading out to the capital St. Helier for dinner on your first night in Jersey, enjoy a gastronomic fine-dining experience at the hotel’s Ocean Restaurant and sample the Tasting Room seven-course menu by Chef Will Holland.
The Atlantic Hotel offers an Atlantic break year round from £118 per person per night. This includes accommodation, full English breakfast each morning, a three-course dinner in Ocean Restaurant each night, use of the Palm Club and a group B hire car (petrol, insurance and Jersey hire car tax to be settled direct with the hire car company). Minimum two-night stay.
To book your stay at The Atlantic Hotel, please visit www.theatlantichotel.com, call +44 (0) 1534 744101 or email reservations@theatlantichotel.com.
What to do & see?
Jersey is only five miles by nine miles, but is brimming with an abundance of things to do. With its hugely varied landscape, a coastline that doesn’t get boring for a second, ideal conditions for water sports such as surfing or kayaking, a number of museums, an adventure centre, a zoo and so much history, the island offers something for everyone.
Start off your day of exploration in St. Brelade’s Bay by taking a stroll along the beach and soaking up some sunshine. La Corbière is the extreme south-western point of Jersey in St. Brelade and visiting its lighthouse is another great way to take in the endless sea views. However, you still haven’t seen anything and I promise you - it only gets better. For some of the most dramatic scenery on the whole island, drive along the west coast, all the way up until you get to the main act – the rugged north coast. We suggest stopping a few times to fully enjoy the jaw-dropping beauty of Jersey’s north coast and take photos.
Following this, grab a quick crab sandwich and a coffee from Jersey’s iconic kiosk The Hungry Man and set some time aside to properly explore the network of staircases and secret rooms in Mont Orgueil Castle, which guards the picturesque village of Gorey on the east coast.
After a delicious breakfast in the Atlantic Hotel on the next morning, prepare yourselves for a journey back in time with Jersey War Tours. Immerse yourselves in the Channel Island’s fascinating WWII history by visiting a number of bunkers, batteries, tunnels, towers and many other sites - all of which are not open to the public.
In addition to its water sports offering, adrenaline junkies or families with kids can enjoy a morning or an afternoon at Valley Adventure Centre, which offers an exciting range of activities such as zip wiring, aerial or rookie trekking, climbing, paintball and more.
If you have some time to spare before your flight, grab your car and head to the capital St. Helier for a coffee or an ice-cream and some shopping or enjoy one last beach walk and a few final deep breaths of fresh salty air.
Where to dine?
For a real taste of just-caught seafood, head to the Michelin Bib Gourmand Mark Jordan at the Beach – a relaxed beachside restaurant in the magical fishing village of St. Aubin. Delicious, locally sourced and cleverly presented food, excellent views, laid back atmosphere and outstanding service – what more can one ask for? The Jersey scallops with chive and cucumber beurre blanc and the brill in lobster bisque are both unmissable.
On your last night, head back to St. Aubin and its harbour and finish your day at Salty Dog Bar & Bistro. Enjoy a glass of wine in the garden before settling down in the bustling dining area to indulge in classic dishes, with a contemporary twist and impeccably prepared with local ingredients. For a taste of everything, try the St. Aubin Seafood sharing platter for two, which comes with scrumptious Jersey Royals and a green salad.
For more information about Jersey, please visit www.jersey.com
Flybe operates daily flights to Jersey from London and Birmingham, with fares starting from £26.33 one way, including taxes and charges. Book now at www.flybe.com
ZEDRA is an independent global specialist in Trust, Corporate and Fund services.
Based in offices across eleven key jurisdictions, the company’s 370–strong team of industry experts is dedicated to creating and delivering bespoke solutions for a diverse client base including high-net-worth individuals and their families, international corporations, institutional investors and entrepreneurs.
Norson Harris is a Director at ZEDRA Trust Company in Jersey. In addition to his duties as a Director of the Company, Norson is responsible for looking after the interest of many of the families the firm has as clients, principally in Asia. We had the privilege of speaking to Norson, who told us in more detail about his role and achievements, the hottest trends within Jersey’s fiduciary services sector, ZEDRA’s approach to its clients and what makes the company a game changer.
What are the current hottest topics discussed in the fiduciary services sector?
The industry is looking in detail at the implications of the Common Reporting Standards (CRS) and the potential consequences of the cross-border reporting this will involve. This includes the obvious consequences such as tax transparency, but for some clients, this also includes perceived and apparent threats to security and confidentiality.
In the immediate future, the industry is also digesting the changes to the UK Resident Non- Domiciled Regime and how this impacts on residence and significantly, property ownership in the UK.
What are the most commonly sought after fiduciary services in Jersey?
Traditionally, this has been companies and trusts, but increasingly we are seeing the use of more complex structures such as Private Trust Companies. There is increasing interest in Jersey Foundations and amongst some of the largest families we represent at ZEDRA, we are looking at the use of close ended investment funds to hold their diverse assets.
A lot of focus is given to the existence of private trusts in the Islands, but often overlooked is the significance of the Island to the UK economy and the corporate services provided by companies such as ZEDRA. Jersey Finance, the Island’s promotional agency reports, “Jersey is a ‘jurisdiction of choice’ for listing holding companies on the Main Market of the London Stock Exchange. There are a number of ‘high profile’ FTSE listed Jersey companies and Jersey also has the greatest number of FTSE 100 companies registered outside the UK”. Jersey supports an estimated 250,000 British jobs and is a conduit for almost £500 billion of foreign investment into the country, according to a report into the jurisdiction’s value to the United Kingdom.
What are the primary risks and sensitive considerations you raise with your clients?
Confidentiality remains a sensitive issue. We have all experienced the ever greater need to disclose personal information to comply with International Regulatory Standards, but for some families this is a highly charged subject. It is recognised that there are needs to monitor and identify the financial relationships and funds held in the Island and within a jurisdiction such as Jersey with a politically neutral establishment and independent judiciary; this does not present a concern. However, where this information is then shared under international protocols, such as CRS, there are genuine concerns for some families as to what purpose this shared information is to be used. This is not a taxation concern as all companies in the fiduciary and wider finance industry recognise their responsibilities in this regard. What is of more concern is whether the information will be used to exploit the family in some way, or raise personal security issues, or be used for political advantage?
With over 25 years of experience in the international financial services industry, you are recognised as a fiduciary expert - how are you developing new strategies and ways to help clients?
It is funny, the longer I am in the industry, I realise that the same strategies I used at the very outset of my career remain the same. Personal, discrete, attentive service remains the driver to everything we do. The structuring may change over time, but more often than not, we are asked the same things; how to protect the wealth and interests of the families we represent. When I started my career, we were more concerned with family protection as the tax code was far less defined and my average client would invariably have been a ‘Landed Family’ in the UK or an industrialist, as they would be more likely known then. The industry over time became more focussed on the tax affairs of clients and in line with the political temperature and regulatory landscape in recent years, the fiduciary sector has again refocussed and there has been a return to more traditional structuring and less emphasis on tax structuring. Whilst my career has gone full circle and I still work with entrepreneurs, the Landed Families have been replaced by some of the world’s wealthiest international families.
You joined ZEDRA a year ago - what were your goals in driving change within the company?
I was actually approached the previous year by Barclays Private Bank & Trust Company to help with the positioning of the sale of the Barclays Offshore Fiduciary Group, which ultimately became ZEDRA. My goal then, which continues today, is to ensure the families we look after are supported in the transition from being owned by a global banking giant to an independent fiduciary group, whilst at the same time launching the ZEDRA identity.
This also required providing support and direction to the staff of the Jersey Company and the wider Group as we began not only the rebranding and launch of ZEDRA but helping to define and develop the new culture of the Company.
How would you evaluate your role and its impact over the last year or so?
I suspect my role individually has been quite minor, but I have been supported by an incredible team of industry practitioners and some very creative people. At the beginning of 2016, no one knew the name ZEDRA, but over the last 12 months, the global recognition of the brand and what it represents, has been quite remarkable. We are seeing an enormous amount of interest in the work we do and we are at the moment receiving a lot of attention from industry advisors looking to build relationships with ZERDA.
Regrettably, my global impact has been less complimentary as I believe I have travelled some 250,000 miles in the last two years.
What further goals are you currently working towards with the company and do you have a particular vision for the future of its services?
ZEDRA continues to expand both in our jurisdictional reach, but also in the number of staff globally that we now employ. This allows the Group to develop its brand identity but also its corporate culture, all of which is very exciting. ZEDRA’s credo as a group is ‘Do More. Achieve More.’ and our goal is to provide those services that our families and clients need from us to support their own ambitions. As a consequence, we have deliberately told the teams at ZEDRA that we are happy to explore and consider all sensible prospects and business enquiries, thus creating an intuitive and flexible environment for clients from all around the world and in all sectors.
What challenges would you say you and the firm encounter on a regular basis? How are these resolved?
As with any launch, especially where a number of companies are brought together, trying to develop a corporate culture is critically important. It is essential to communicate with all employees as to what is happening and what the future looks like from a corporate perspective. In all such scenarios, there are early adopters and other members of the company who will be a little more reluctant to embrace the change. This is more so when one considers that for some of the staff at ZEDRA, their entire employment history may have been with Barclays previously.
Staff recruitment is always difficult, especially in the offshore world, but from discussions with a number of the recruitment agencies we employ, we are seeing enormous interest from people wishing to work for ZEDRA. We are doing something exciting and we strive to be the ‘employer of choice’.
What would you say are the company’s top three priorities towards its clients?
Understanding our client’s ambitions and concerns, developing close personal relationships with them and acting professionally and with integrity in everything we do.
What has been your biggest professional reward so far? And how will this help you achieve further for your clients in future?
I think being recognised by my peer group in the industry has been remarkably rewarding. I have been very fortunate to have received a number of awards over the years, but I recognise that these have been as a result of close collaboration with my colleagues and staff without whom it would have been a lot less interesting and rewarding. An exciting part of my role is to ‘pass the baton’ to the next generation of practitioners who will continue to support me in my relationship with my clients, but who in the longer term (I am not quite done yet) will go on to lead their own relationships.
What lies on the horizon for the firm in 2017, and what big changes do you expect in the coming year?
ZEDRA will continue to consolidate our existing business within the Group and grow the offices to support our clients’ needs. We will also look to further jurisdictions to add to our global offering to ensure we meet those very exacting standards we set for ourselves and to meet the expectations of our clients.
Is there anything else you would like to add?
It may seem trite, but it really is a team effort to build and grow a diverse financial services Group like ZEDRA. We have been enormously fortunate to have the support of the Sarikhani and Nielsen families as our new owners. The massive contribution from all of the staff across the Group in this first year has been key in the success of ZEDRA but we must also recognise the patience and loyalty of our clients, without whom, it would not have been possible.
