Bank of Singapore BOS

Interesting choice for the "new" brand.

Our dear old OCBC, legally known as the Oversea-Chinese Banking Corporation. Long history of retail banking in south Asia and, of course, listed on the GSX. For the past few years, its been trying to ditch the "Chinese" part of the brand and going with the acronym OCBC. Just like HSBC rarely mentions the words "Hong Kong" or "Shanghai" in its name these days especially overseas. Guess the marketing gurus surmised that any reference to race, nationality or geographical content was not good for international business.

Now we have a 360 of sorts. For the new private banking business (which was ING Group's Asian private bank until 6-months ago), OCBC has re-branded the unit into Bank of Singapore. (For correctness, OCBC has owned the name BOS since the 50s or 60s and used it in one failed venture or another since - Raymond Chee better hope that this time is a charm!).

One theory mentioned is that "Singapore" was now a valuable commodity in the global private wealth business and would attract those fleeing the grey and black listed jurisdictions offshore and in Europe. On the flip side, any BOS muck up could also tarnish the reputation of the entire Lion City financial sector (or vice versa). Obviously Bank of America is not a central bank but Bank of England is. I would be interested in seeing survey results in Europe or even North Asia on what percentage of people would mistake BOS for a central bank/monetary authority. An unnecessary, high risk move if you ask me (which of course they didn't).

And BOS is hardly a nice acronym to revert to. Much too close to POS (which is not point-of-sales in my book)

Jobless? Consider Whistle-blowing

"When you become a private client with Julius Baer, we'll have plenty of questions." Like: Do you really "hint, hint, nudge, nudge, wink, wink" want to pay taxes?

Enter Rudolph Elmer or is it "Teddy Baer"? It's been a story in the making for years now but now seems to be gaining steam again. Rudy is a founding father of modern day Swiss banking-tax evasion whistle-blowing. A hounded, once-imprisoned, man of remorse. Or a vindictive sociopath depending on whose view you get. For years, Rudy has been helping the German tax authorities and now with UBS subdued, the IRS has renewed interest in what Rudy has to offer.

Rudy has a nice job conducting: How we Swiss banks helped tax evaders 101" in a 5-star hotel to anyone that will listen. http://www.nytimes.com/2010/01/19/business/19whistle.html
http://www.nytimes.com/2010/01/19/business/19whistle.html

For those that like international intrigue, you need to dig up all the trash and shredded paperwork since 2005 when JB reported data theft from its Cayman operations. Guess who ran the shop there? Guess who gets terminated thereafter?

JB client data supposedly (as there were some validity issues) evidencing "the undisclosed role of American investment management companies in funneling American, European and South American clients who wished to avoid taxes to Julius Baer; the backdating of documents to establish trusts and foundations used to evade taxes; and the funneling of trades for hedge funds and private equity firms from high-tax jurisdictions through Baer entities in the Cayman Islands" pop up on Wikileaks, a now semi-defunct whistle-blower website. Guess which bank sued to put Wikileaks out of commission in 2008?

Amongst the alleged JB clients revealed was Kadoorie, one of the most wealthy and powerful families ("Tai-pans") in the region with a long history in old Shanghai and Hong Kong.

I guess Rudy won't be staying at the Peninsula should his lecture tour end up in Asia.

[Edit: more food for thought, big money: http://www.ifcreview.com/viewnews.aspx?articleId=870 ]

Jobless? Hole in the CV? Blame the Competitors!

A dear friend, one of the brightest tax & trust minds I have come across, has been unemployed for a while now. Being senior in grade and pay makes his job search a tad more difficult than most others.

However, true to character, he offers a simple explanation: "being compliance minded, I am merely abiding by the post-employment covenant in my employment contract.

For those that had an "executive" grading, check your old employment contract for the magic words: "prohibited from joining competitors". If you have that then you can simply say I couldn't have been employed even if I wanted to. Voilà! You now have the perfect excuse for being unemployed for whatever period that was stipulated in your contract.

You have risen from the ranks of the unemployed to the ranks of the unemployable.

Mark Jackman: New Poster Boy for Job Hoppers

Now Mark has been a stalwart of the Singapore trust scene for many years. He is also a chronic job hopper. According to WealthbriefingAsia, Mark has just signed on to head Standard Chartered's trust business. Hope this one works out......it would be shame to see SCB sell off its trust business....again! More likely those 20-somethings SCB has for RMs will drive you nuts first.

Wasn't long ago that Mark was at Rothschild (geez, a year was it Mark?). Old timers probably remember him when he was at Credit Suisse. He was with Bankers Trust before that. RBS Coutts is in there somewhere too. There were probably a few others.

So to all those who balk at hiring job hoppers, think again.

For those of you job hopping....Mark is proof that you can have a polygamous résumé.

Oops! More Swiss Follies

Makes you wonder if anyone is really in charge of Swiss banking? Appears the Regulator FINMA isn't when the courts say it was wrong in requesting UBS cough up its American client details.

http://www.swissinfo.ch/eng/business/index/Court_rules_UBS_data_transfer_to_US_illegal.html?cid=8038384

Regret closing that numbered account now don't you?

[Edit: Collapse? Exaggerating for sympathy or the death knell for UBS? http://www.ifcreview.com/viewnews.aspx?articleId=873. I remember drawing the ire of Emmanuel Bucaille (P&S head in Asia) when this this whole US tax situation starting brewing with their people in Miami being detained and no-fly rules being introduced. I joked that this was going to get ugly......and ugly it has become]

Throwing a Party and You're Not Invited

There's a gathering of some Asian trust heavyweights, although mainly tax lawyers, and you're not invited: www.wealthadvisorsasia.com/index.php

(Apologies if you were)

I don't know Robin Vos of Macfarlanes. My bad but then again he's the only one that isn't based in the region.

Not much good can from a coven of lawyers, so if I was HL Lee I would bug the place, maybe send in Shanmugam as a mole but remember he's an ex-lawyer and potential sympathizer.

It's January.....go break up a marriage

Slightly demented article on the affect (or lack thereof) of divorces and private banking: http://www.wealth-bulletin.com/rich-life/rich-monitor/content/1056171755/

As we trustees, private client/family law lawyers and bankers can all stand to benefit from upheavals in the family units we deal with, so if business is slow, go seek out wealthy couples we can break up! Go spread those rumours of infidelity! Go dangle the bait of zillion dollar divorce settlement! Hire RMs whose job is to destroy relationships! Add "number of successful divorces" to performance scorecard of your Business Development team.

All's fair in love and war.

2010 Has Been Called a Good Year to Die...........

.................If you 're an wealthy American (or own a sizable chunk of US assets).

Terrible to start the new year with a gloomy subject but this could be important for some. It looks like US Estate Tax is repealed for 2010 (unless something else funky happens, like retrospective application! WTF!). Therefore, all persons dying in this calender year, can do so without paying estate tax, about 45% of anything over US$3.5M.

Due to some brain-freezing, political wheeling-n-dealing scheme by GW Bush nearly a decade ago, US Estate Tax rates have been gradually lowered since until 2010, when it disappears all together. The unbelievable aspect is that the tax comes back in 2011 and at the original 2001 rates which are of course higher (at some 55%)!!!! This may be your only opportunity to royally screw the IRS....there's still a potential Capital Gains Tax on the assets to be inherited but that's something that you could plan around.

So if your rich and are nearing the end, make your "bucket list" and live dangerously, very dangerously, for the next 12 months. If you have grandchildren, consider that the Generation-Skipping Tax (or GST) is also gone in 2010 providing a great opportunity to screw your kids but not the grandkids.

While I do not condone illegal actions of any sort, assisting your bequestor Mom or Pops with an early "expire-ment" means tremendous tax savings. There's never been a better time than this year to pull the plug on dear old, rich Grandma. Be smart about though and seek advice on the "Slayer Rules" in your home state first.

If you have heirs, watch out.