All roads lead to Beijing as we look at China’s generation defining “One Belt, One Road” policy, an endeavour that, if successful, will interweave the economic destinies of 3.8 billion people (over half of the global population), across 65 countries. The cost is projected at a mindboggling USD 4 trillion – equivalent to launching 27 International Space Stations, building 10 complete US interstate systems, or digging 180 Chunnels (the Channel Tunnel between the U.K. and continental Europe). No matter how you slice it, China is primed to head-up the largest infrastructure investment project the world has ever seen. Continue reading One Belt, One Road – The giant in the East needs a better PR-firm on the case.
A survey conducted by the European Commission revealed that 80% of the respondents answered with “no”, when they were asked if they were considering buying a financial product outside their own EU-county. This seems to be, the survey continues, because in the near future “they can purchase all financial products in their own country”. Could it be that PDS2 influences their decision? How does this then supposedly work? Last but not least, is this a threat to banks in general? Continue reading How can technology influence the changing relationship between Bank and Treasury – PSD2 explained.
Being rewarded makes us feel good. When exposed to a rewarding stimulus, the brain responds by increasing release of the neurotransmitter dopamine. Deep within we all hope to receive some sort of payoff for the good that we do. Truth be told, in our working life, there is usually no satisfying payoff. However, there seems to be an exemption. According to the US Department of Justice there is one industry that rewards its employees for their hard work, the money laundering industry. It accumulates more money than the electronics industry, the entertainment industry and the pharmaceutical industry combined.
Now you may be thinking, ….. wait! …… money laundering, ….. isn’t that illegal? Minor technicality. However, it is exactly this technicality that leads governments globally to try to suffocate this flourishing industry, whilst others’ strategy is to bypass the defences and become the most successful human beings on earth. Continue reading Money laundering as an adventure!
The outcome of the referendum is clear, the U.K. wants out. Fast. However, the whole process of the Brexit has not even started yet. Hard statements during public appearances set the scene. Is this negotiation rhetoric or something else? What are the consequences we could anticipate? What exit scenarios are available? How does the legal framework interfere? Continue reading Brexit? Yes! But keep in mind, until you’re out, you’re in!
The Cayman Islands may be beautiful, but the world’s wealthy, and some of the world’s biggest businesses are there for another reason, its financial system. This article sheds light on how this works, against the backdrop of tax avoidance, the moral aspects, and financial institutions’ Customer Due Diligence / Know Your Customer. Continue reading Who and What Determines Offshore Ethics? – A perspective on tax avoidance, KYC v2.0
If the price isn’t right, suspicion of Corporate Tax Avoidance could rise.
A discussion paper against the backdrop of OECD’s “Transfer Pricing Reporting”. The recent crises and some scandals shed light on the risk that a certain way of applying transfer pricing was jeopardizing the arm’s length principle itself. That’s why the OECD aims at redrafting the guidelines. Transfer pricing has become one of the main risks to be addressed and managed by MNCs. How does this potentially affect Treasury? What are best practices? Continue reading Transfer Pricing? Keep it at arm’s length! (BEPS Action #13)
Qualification mismatches can be powerful tools to reduce tax costs in a tax planning structure. How the OECD proposes to neutralize the effects of hybrid mismatch arrangements may/will impact MNC’s. This article provides a technical analysis. Continue reading Dealing with OECD’s “Neutralizing the effects of hybrid mismatch arrangements” (BEPS Action #2).