WEALTH MANAGEMENT: CROSS-BORDER SOLUTIONS MADE IN LUXEMBOURG Moderator: Per Andelius, Legal Councellor Experts: Peter Kubicki, Managing Director, Skandinaviska Enskilda Banken Flemming Lauridsen, Managing Director, Nordea Bank S.A. Tony Nordblad, Country Manager Nordic Countries, Foyer International S.A. Mats Rönneskog, Country Manager Sweden, Lombard International Assurance S.A.
A modern and dynamic financial centre in the heart of Europe Expertise of more than 40 years in international financials transactions Highly qualified, multi-lingual work force with an international mindset Stable political, legal and social environment AAA rated country with stable outlook Banking is a core industry supported by regulators and policy makers 2
Largest Private Banking Centre in the EU and over 140 banks present PB AuM in Luxemourg: 320 bn Germany - 39 France - 14 Belgium - 11 Source: CSSF July 2012 Switzerland - 10 Italy - 8 United Kingdom - 8 Sweden -7 United States - 6 Japan - 5 Luxembourg - 5 China - 4 3
And a truly international offering Wealth Structuring Cross-border expertise Investment Management HNWI Client International Mortgages & Financing Philanthropy & Passion Investments International Banking Services Luxemburg banks are neutral on where customers are resident and have a significant toolbox to fulfil customer needs 4
Trends Introducing automatic exchange of information Bank secrecy gone for all practical purposes even though professional secrecy continues to be applicable High standards in tax transparency and anti money laundering legislation Luxembourg has bilateral tax treaties with all EU and EEA Member States and with a number of other countries, including almost all OECD Member States. Big(ger) clients attracted to Lux Lux capitalizing on other financial centers challenges 5
Our value proposition utilizing white panel partners - typical issues arising when moving abroad Identify gaps between the relevant jurisdictions involved Click to edit Master title style Civil Law Click vs. to Common edit Master Law title style Probation and Forced heirship Ensuring that free movement of capital complies with Local tax and regulatory requirements Exit Taxation Double Taxation Treaties Cash-flow planning Succession Planning Protection Planning Life Assurance Pension Savings Trust/Foundation Company/Business Philanthropy Securitisation Vehicle ALM / Corporate Bonds SIF UK account/mcob 6
Wealth allocation today and tomorrow - combining investment strategy with wealth planning 7
The alternative - proposed idea for the wealth planning structure Children Policyholder (owner) Others Capital Capital Assurance Sub-Policy Contract A1 Capital Assurance Master Policy Contract A Capitalt Capital Assurance Sub-Policy Contract A2 8
CROSS-BORDER LIFE INSURANCE SOLUTIONS
Life insurance in Luxembourg Premiums and technical reserves Bn 120 107 100 88 92 80 69 60 56 52 40 20 11 11 18 22 15 21 0 2007 2008 2009 2010 2011 2012 Source: Commissariat aux Assurances 10
Life insurance in Luxembourg Geographic analysis Total Luxembourg cross border life premium income: 13.06 billion Source: Commissariat aux Assurances 11
Life insurance in Luxembourg Clients needs Flexibility Asset & investor protec=on Estate Planning Policyholder Insurance tax framework Protec=on of the private sphere Portability 12
Life insurance in Luxembourg Maximum investment protection Luxembourg State Regulator Commissariat aux Assurances (CAA) Legal separation of investor assets and shareholder assets Strongest investor protection regime in Europe Luxembourgish life insurance company All client assets held by approved independent custodian bank Approved Custodian Bank 13
Thank you! www.luxembourgforfinance.lu 14