HSBC Offshore, Jersey Experts in Expats Offshore banking – what is it and is it reputable? What is offshore banking? Offshore banking is the management of financial assets in a country other than the one where you live, usually in a low tax jurisdiction Dispelling the myths Offshore banking is not illegal Offshore banking is not dishonest Offshore banking is not just for the rich or famous Offshore banking is not about hiding money Why bank offshore? For some, there are very real and legitimate potential taxation advantages For those living in a politically or economically unstable country, placing money offshore can be a better alternative to keeping it onshore For the vast majority, it is all about ease of money management Offshore banking – where does it fit in? Home country Covers domestic banking needs in the country you’ve moved from: • transactional banking to service any financial commitments in home country, e.g. house, family at home etc. Host country Covers domestic banking needs in the country you’ve moved to: • day to day transactional banking in local currency, with local knowledge, to service local financial needs. Offshore banking Covers money not needed on a day to day basis, giving it a central home whilst you’re an expat: • maximising opportunities and managing risks of expat finances in a reliable and stable jurisdiction. Jersey as an offshore centre – reputation and stability Jersey as an offshore jurisdiction: A stable and reputable offshore centre for nearly 50 years For residents there is no capital gains tax, inheritance tax or estate duty, or capital transfer tax. Regulatory framework: Jersey Financial Services Commission (JFSC) established in 1998 ensuring high regulatory standards in place JFSC works closely with UK Financial Services Authority 2009, Jersey Depositor Protection Scheme established (£50k per person) Key fact: G7 Financial Stability Forum Jersey named as one of the top finance centres Source - www.jerseyfsc.org Key fact: Apr-09, OECD added Jersey to their list of jurisdictions 'that have substantially implemented the internationally agreed tax standard' Source - www.oecd.org Key fact: IMF report (Sep-09) - Jersey ‘top of the table’ of international finance centres Source – www.offshoreoam.com HSBC Offshore, Jersey – an overview HSBC has been offering offshore banking services from Jersey for over 40 years Specialist savings and wealth management solutions for expats Joined up HSBC Premier service for our truly internationally mobile customers 100k customers in over 200 countries and territories worldwide On the ground representation in key expat areas - offices in Dubai, Hong Kong and South Africa Sponsors largest expat survey to understand life as an expat Named ‘Best International Bank’ in 2008 (International Investment’s International Fund and Product Awards) Key fact: 27% of our customers are HSBC Premier customers with another part of the Group Source – HSBC Bank International sales and trading pack HSBC Offshore, Jersey – what’s the benefit? “Experts in Expats” Expat Expertise: trusted advisor who understands the complexities and opportunities of managing expat finances Relationship and wealth management, simple and rewarding savings in a politically and economically stable region, optimisation of potential tax opportunities, multicurrency solutions and anchor point for your finances. International Capabilities: extensive geographic reach with local expertise around the world International Premier recognition, joining up of home, host and offshore banking, global wealth management expertise, financial strength and stability of the HSBC Group. HSBC Offshore, Jersey – benefits in detail Expertise & knowledge Understanding expats – talk to people who understand your situation, know where you’re coming from and who can point you in the right direction Independent financial advice – advice which suits your life, helping you make the most of your expat status today and plan for tomorrow Specialist investment and protection solutions – specifically chosen from the whole market place, using a wide range of criteria, with expats in mind Multi-currency banking – your money doesn’t have borders so you need a bank that knows how to help you manage multiple currencies Shariah Law – helping you understand and manage the impact on your finances HSBC Offshore, Jersey – benefits in detail Simplicity & control Savings and investments in one place – when you move you don’t need to worry about finding a new home for your money ‘Global View’ and transfers for your HSBC accounts worldwide – the simplest way to get a one-stop view of your money and move it around when you want to - not available in all countries ‘Assetmaster’ investment nominee service – making your life less complicated by simplifying your investments and holding them in one place - not available in all countries Multi-currency transactions – flexibility of sending money back and forth between more than one country or currency, simple and seamless transactions at preferential rates Choice of ways to bank – time zones are irrelevant, always open, whenever you need us, by phone, internet and mobile Joined-up service – Managers in Dubai, Abu Dhabi and Jebel Ali branches. Your home country and host country banking under one roof in the UAE HSBC Offshore, Jersey – benefits in detail Reassurance & security 24/7/365 relationship management – with you every step of the way, thinking of the things you need, so you don’t have to Globally portable life cover – making sure your family’s looked after wherever you are in the world (available in certain countries) Reputable offshore jurisdiction – know your money’s in good hands in Jersey Part of the HSBC Group – one of the world's largest and most trusted banks, helping over 100 million people worldwide to manage and save for their futures HSBC Offshore, Jersey – benefits in detail International recognition HSBC Premier – wherever I am in the world, I get recognised as one of HSBC’s most valuable customers Issued by HSBC Bank International a trading name of HSBC Bank International Limited, HSBC House Esplanade St Helier Jersey JE1 1HS. HSBC Bank International is regulated by the Jersey Financial Services Commission for Banking, General Insurance Mediation, Investment and Fund Services Businesses. Licensed by the Guernsey Financial Services Commission for Banking, Collective Investment Schemes and Investment Business. Licensed by the Isle of Man Financial Supervision Commission. HSBC Bank International Limited Representative Office Dubai. The contents of this presentation are confidential and may not be reproduced or further distributed to any person or entity, whether in whole or in part, for any purpose. This presentation is intended for discussion only and shall not be capable of creating any contractual or other legal obligations on the part of HSBC Bank International Limited or any other HSBC Group company. Care has been taken to ensure the accuracy of this presentation but HSBC Bank International Limited accepts no responsibility for any errors or omissions contained therein. Your tax situation will depend on your personal circumstances and you should refer any tax planning to your accountant or professional tax adviser. The material contained in this presentation is for information only and does not constitute investment advice or a recommendation to any reader of this material to buy or sell investments. ©HSBC Bank International Limited 2010. All Rights Reserved MC8327/DUBAB/MH/2206443