Managing wealth in troubled, complex and multicultural times
Our environment changes at an incredible and almost unforeseeable speed. From an economic perspective it seems that only the unpredictable and chaotic nature of events is certain. Some jurisdictions become more and more instable and others tend to tax or control their wealthy residents in an almost punitive manner.Families become more complex (divorces etc) and individuals more mobile.
Hence managing the wealth of a person/family becomes more and more challenging.
According to the law firm Baker&McKenzie it is from this perspective that one has to look at private banking. Private banking is not about black money and tax evasion. Private banking is a sound structuring of a person’s or family’s wealth from a perspective of asset protection, privacy, efficient transfer of wealth from one generation to the other...
Skills and experience
In the view of Baker & McKenzie, Luxembourg has proved its expertise as private banking centre for many decades. With "offshore banking almost dead" the firm points to how clients have turned to fully tax transparent investments and structures in Luxembourg. This comes with the added protection of formal banking secrecy which further helps individuals keep their privacy from some of the ever-more invasive states or even one's own family.
Moving here: an ever more interesting option
Sure, there are neither beaches nor mountains in Luxembourg and the connections to major cities or airports could be further improved. But the quality of living (multicultural, safety of the citizens and children, very good social security system), the politically stable environment and a tax system which does not destroy wealth when passed from one generation to the other are not the sole arguments for not only using Luxembourg private banking expertise but rather also live in Luxembourg … provided one finds an adequate housing in a market which sees prices continue to climb and often lacks “high end” housing. Hence for those who consider looking for a stable environment in these extremely challenging and turbulent times Luxembourg and its skilled private banking sector should be on the very top of the list. Above all, the country provides predictability, but not without a flare for innovation when required: it stands for being stable and applying common sense in an ever more complicated world.