UK Foreign Minister Mark Simmonds Visits BVI House Asia

03 May, 2014, Hong Kong - On May 2, 2014, United Kingdom Foreign Minister and Parliamentary Under Secretary of State, the Hon. Mark Simmonds led a four-member delegation, including HM Consul General for Hong Kong and Macao, Ms. Caroline Wilson, on a visit to BVI House Asia.

The Minister and delegation received an update on the work that BVI House Asia has done since its establishment from the Director of BVI House Asia, Elise Donovan, and also received an overview of BVI business in the Asian market from Hong Kong-based BVI financial services practitioners.

In addition to the director, other presenters were Deputy Managing Director of the BVI Financial Services Commission Kenneth Baker, CEO of Sertus Incorporations David Bruce, Executive Director of NewHaven Allan Collins, CEO of OIL Vistra Group Martin Crawford, Head of Asian Business and Managing Partner (HK) of Harneys Jonathan Culshaw, Global Head of BVI Law of Maples and Calder Michael Gagie, and Managing Partner of Walkers (HK) Andy Randall.

The practitioners outlined that contrary to public perception, the primary drivers for using offshore and BVI corporate structures were not tax based, but that the BVI structures were in more demand and being used for asset protection and wealth management, funds management, investment holdings and trading.  They outlined that according to market research, the use of offshore structures for tax planning was actually on the decline while other uses were increasing.

BVI’s popularity in Asia they outlined, stemmed from several advantages, such as the flexibility of its corporate structures, its strong legal system, strong BVI legal expertise and other professional services available in the Asian time zone, its dedicated and efficient Commercial Court, and its strong trust infrastructure.

The practitioners also talked about the type of high-end transactions involving BVI Business Companies, including private wealth trusts, equity, debt, insolvency and dispute resolution, funds, IPO, corporate, assets, resources, asset-backed securities, real estate, shipping and aircraft.

They told the UK Minister that the BVI was still the most important jurisdiction in the Asian market and they were pleased that the Government had established BVI House Asia to provide support for their work.

Minister Simmonds said the presentation was “extremely helpful and informative,” further telling the group that “the UK Government is very supportive of the BVI and its financial services sector.  The UK sees it (financial services) as a fundamental pillar for the BVI going forward in the future.”