Our monthly roundup of news, events and sponsor reading material.

Members' Area

The Members' Area will develop over time, and will be populated with consultation responses and papers / advice issued by GAT and / or the Technical Committee.

Message from the Chair

Our next luncheon will take place on Wednesday 26th April when our sponsors Aspida Group will be presenting. Please note the change of venue - luncheons are currently taking place at the Old Government House Hotel due to the refurbishment of Moores. Booking will be available soon and all members will receive an event invitation.

The dates of future luncheons can be viewed and/or booked via our interactive calendar at http://www.guernseytrustees.org/calendar

As always, I would be pleased to hear from members to understand any general frustrations or concerns you may have. Please do contact me.

With warmest wishes from GAT, enjoy your February newsletter.

Kind regards

Rhona Humphreys

GAT Chair

CONSULTATON PAPERS

Consultation Paper on Revisions to the Process of Providing Mutual Legal Assistance

Please view and/or download the consultation document, issued by the Policy and Resources Committee on Wednesday 22nd February, which is seeking views on a proposed change to the mutual legal assistance (MLA) process, which is the process under which Guernsey provides assistance for the purposes of investigations or proceedings in other jurisdictions.

The purpose of the proposed change is to put in place a simpler and more efficient process for obtaining documentary evidence for transmission to other jurisdictions.

Comments responding to this consultation can be made via email for the attention of the Director of Financial Crime Policy to policyandresources@gov.gg by the close of business on Wednesday 22nd March. GAT will not be submitting a response but would encourage members to respond should they have views they would like considered.

Consultation on Proposed Financial Crime Return Rules

This consultation paper which was issued on 13th February proposes the making of rules for the mandatory filing of three existing financial crime returns to which administrative financial penalties will apply for late filings and inaccurate submissions.

The Commission is intending to make rules which will make mandatory the filing of the following returns within the timeframes set:

• The annual financial crime risk return from all licensed firms by 31 October each year;

• The annual intermediary multi-scheme return by administrators of authorised and registered collective investment schemes by 31 May each year; and

• The quarterly financial flows return completed by banks within two months of quarter end.

The Commission consulted on the inclusion of these financial crime returns in both penalty regimes as part of its consultation last year on the fee rates for 2023. Feedback on that consultation was issued in November 2022 addressing responses to the development on these regimes.

GAT would encourage members to provide individual feedback regarding the Financial Crime Return Rules for 2023 should they wish to do so, by completing the online survey prior to the deadline of Monday 27th March by clicking the button below.

Consultation Paper on Amendments to Legislation administered by the Guernsey Registry

The Committee for Economic Development issued the above consultation paper on 2nd December 2022, which was seeking views from industry and stakeholders on proposed changes to legislation administered by the Guernsey Registry.

The aim of the review is to achieve consistency in both legislation and practice and introduce more clarity, simplicity and uniformity in the oversight of legal persons administered by the Registry. The review also provides an opportunity to address points that have come to the Registrar's attention and apply recognised good practice.

A set of streamlining changes to the legislation was therefore proposed to provide greater accuracy and consistency in the information available to the Registrar, further enhance and harmonise the application of the Registry's enforcement measures and introduce greater operational efficiencies in practice.

Please view and/or download the paper, addendum and GAT response via the buttons below. The deadline for responses was Monday 20th February.

Consultation Paper in relation to Transparency and Beneficial Ownership of Legal Arrangements

A Consultation Paper was issued by the Policy and Resources Committee on Monday 23rd January, which makes proposals to address Recommendation 25 of the Recommendations issued by the Financial Action Task Force (FATF); this Recommendation covers transparency and beneficial ownership of legal arrangements.

Although the language of the measures needed under Recommendation 25 only refers to express trusts, equivalent measures are required for other forms of legal arrangement with a similar structure or function. This consultation therefore makes proposals for all legal arrangements that may be created under the law of the Bailiwick, namely express trusts, limited partnerships without legal personality (LPs)1 and general partnerships. 

Please view and/or download the paper, addendum and GAT response via the buttons below. The deadline for responses was Tuesday 28th February.

NEWS

Policy & Resources Committee comment following discussions with Deputy St Pier and Deputy Soulsby on Tax Review amendments

Following meetings held in early February, the Policy & Resources Committee met on Monday 13th February with Deputy St Pier and Deputy Soulsby to discuss a further amendment to the Tax Review proposals. These meetings were instigated by the Committee as part of their efforts to engage with all States Members and this was the third meeting held between Committee members and the two deputies since the first part of the Tax Review debate.

The Policy & Resources members have sought to provide States Members with viable alternatives to its original package of measures (Option A) when debate on the Tax Review resumes on 15 February, and has welcomed engagement from all members. To this end, it had hoped to work with Deputies St Pier and Soulsby to develop an amendment which they intend to lead into a viable 'Option D'. However following the meeting held on Monday 13th February the Committee is clear that Option D is not a credible option. The other options that will be put before States Members are all packages totalling £85m, which is needed to address the forecast annual funding shortfall, which government cannot responsibly leave unaddressed.

The Commission updates its Natural Capital Fund framework to reflect agreement at COP 15.

In September 2022, the Guernsey Financial Services Commission launched its Natural Capital Fund framework, as part of the growing Guernsey Sustainable Funds Regime. In December 2022, at COP 15, governments from around the world came together to agree on a new set of goals to guide global action by 2030 to halt and reverse nature loss.

To ensure that the Natural Capital Fund framework reflects the international agreement between 188 governments, the Commission has updated the framework to reference the Kunming-Montreal Convention on Biodiversity Global Biodiversity Framework. The newly agreed framework centres on the goal of “30 by 30” – a target to achieve the effective conservation and management of at least 30 per cent of the world’s land, coastal areas and oceans as well as the restoration of 30 per cent of terrestrial and marine ecosystems by 2030.

Please view and/or download the updated rules by clicking the button below.

Commission elects new Vice-Chairman

The Commission has elected John Aspden as its Vice-Chairman in the wake of the sad death of its previous Vice-Chairman, Baroness Couttie.

John is also Chairman of the Group of International Finance Centre Supervisors and co-chairs the Basel Consultative Group, and was made an MBE for his work in financial services. He was Chief Executive of the Financial Supervision Commission in the Isle of Man from 1998 to 2015, where he was responsible for the regulation and supervision of all banking, securities and funds, trusts and companies, and money transmission activities.

Prior to taking up his role in the Isle of Man, John held senior roles in the private sector including being Managing Director of Matheson InvestNet Ltd, at the time Hong Kong’s largest independent distributor of, and adviser on, collective investments for retail investors. John has also held the role of Deputy General Manager of the International Bank of Asia Ltd and has worked in banking supervision at the Bank of England and at the Office of the Commissioner of Banking in Hong Kong, now HKMA.

Speaking about the appointment, Commission Chairman, Julian Winser, said: “I am delighted that John has been elected as the Commission’s new Vice-Chairman. John has made an important contribution to the work of the Commission, in particular, as Chairman of the Commission’s Audit and Risk Committee and it is fitting that he has now become Vice-Chairman.”

Guernsey the largest captive domicile in Europe

Guernsey is now the largest domicile for captive insurance in Europe with a total of 201 captives domiciled in the island at the end of 2022.

Last year, Guernsey approved 12 new captive licences and had three surrenders. This overall increase of nine puts Guernsey at the top for captive numbers, overtaking Luxembourg with whom Guernsey tied joint largest European domicile at the end of 2021. Luxembourg reported a total of 195 captives at the end of 2022.

Chief Executive, Rupert Pleasant, said this is tremendous news for Guernsey. “It is testament to the quality and experience of our practitioners. Guernsey is a is globally renowned centre for specialist financial services, a jurisdiction of substance and it is gratifying to reach this milestone. Guernsey has a long history of domiciling captives, with the first captive insurer being incorporated into the island over 100 years ago. Since then, the island’s insurance industry has continuously evolved and innovated to provide the very best infrastructure for its clients, and we were proudly recognised as European Domicile of the Year at the 2022 European Captive Review Awards.”

Mark Elliott, Chair of the Guernsey International Insurance Association (GIIA), said: “This is a great endorsement of Guernsey’s captive offering, coming soon after our 100 years of captives anniversary celebrations. We have a high quality, experienced captive infrastructure with leading service providers and a pragmatic and robust regulator which is what sets us apart. We look forward to continuing to innovate and promote the captive proposition to existing and new clients going forwards.”

EVENTS

Members are warmly invited to save the date for the next GAT Luncheon of 2023, taking place on Wednesday 26th April in the Regency Room of the Old Government House Hotel, due to the refurbishment of Moores.

GAT sponsors Aspida Group will be presenting and the main presentation will be preceded by a short talk from the Association for Project Management. GAT Chair, Rhona Humphreys will deliver a welcome and industry update. Booking will be available soon via Eventbrite and members will receive an event invitation.

The dates of future luncheons can be viewed and/or booked via our interactive calendar at http://www.guernseytrustees.org/calendar

STEP Guernsey Lunchtime Lecture 2022/2023 Series

Venue: The Colborne Room, OGH Hotel

When: Thursday 2nd March 2023, 12-1pm (rescheduled date)

Topic: Cyber and Data Protection Roundup for Trustees, CSPs and Administrators

Speaker: Richard Field, Appleby

Richard, Partner at Appleby, will provide a round-up of cyber and data-protection information for fiduciaries, covering topics such as:

• The latest ODPA guidance for administrators and administered entities;

• Core data protection and cyber security risks to be aware of;

• 5 years on from implementation of the Guernsey DP Law – what should your compliance look like at this point?

Venue: The Colborne Room, OGH Hotel

When: Tuesday 14th March 2023, 12-1pm

Topic: All in the Mind: Planning for and Dealing with Incapacity

Speakers: Nicholas Harries, Jonathan Arr and Michael Shaw, Macfarlanes

Nicholas, Jonathan and Michael will cover the following during the session:

• Cross-border recognition of powers of attorney

• Practical drafting considerations for trust powers

• Dealing with assets without a power of attorney

• When to assess capacity

• Court of Protection proceedings

• Capacity and family disputes

A selection of upcoming courses through the GTA

SharePoint Online Basics

This one-day course will look into all the basics of SharePoint Online.  The modern experience is designed to be simplified and flexible to manage documents or create team sites.  Not only will this course look at basic document management it will cover editing and creating team sites in SharePoint Online to give delegates the knowledge to customise their own team experience.

Cost: £295
Date: 7 March 2023

Venue: GTA University Centre
Times: 09:00-16:30
Further details and registration here.

FATCA and CRS Visits – Preparation and Practical Tips

This short course will take delegates through what they can expect of a visit from the AEOI team of the Guernsey Revenue Service.  Under the bilateral FATCA agreement and multilateral OECD agreement the Guernsey Revenue Service is the “competent authority” (or regulator) for both FATCA and CRS.  The Revenue Service, specifically the AEOI team, have a responsibility to perform regulatory supervision of reporting entities.  This is being done via a combination of routes including data quality analysis, thematic and regulatory oversight visits.  This course will help delegates and their businesses prepare for the visit.  

Cost: £99
Date: 16 March 2023
Venue: GTA University Centre
Times: 09:30 – 11:00
Further details and registration here.

Essential Skills in Management and Leadership
This two half-day course is aimed at anyone who would like to improve their management skills, or an individual preparing to move into a management role.  The course will help delegates develop the essential skills for all leaders and managers looking at the different qualities which can be adopted, techniques for coaching and motivating a team, developing emotional skills and maximising the use of time.

Cost: £325
Date: 20 March 2023 and 27 March 2023
Venue: GTA University Centre
Times: 09:00 to 13:00
Further details and registration here.

Board AML and CFT Updates

This half-day course offers a comprehensive and interactive refresher on AML and CFT and is aimed at directors and senior management of financial services business in Guernsey.

Cost: £220
Date: 21 March 2023
Venue: GTA University Centre
Times: 09:00 – 13:00
Further details and registration here.

Management of Outsourcing Risk
This half-day workshop introduces the principles of outsourcing and looks at the selection and appointment of service providers, including the due diligence requirements and ongoing monitoring and oversight.  The session will be of particular interest to directors, risk managers, compliance/governance and audit staff.

Cost: £195
Date: 23 March 2023
Venue: GTA University Centre
Times: 09:30 to 12:30

Further details and registration here.

Practical Board Meetings
This half-day course has been designed to provide essential skills to those who are required to arrange and attend board meetings, produce agendas, board packs and board minutes.

Cost: £195
Date: 23 March 2023
Venue: GTA University Centre
Times: 09:30 to 13:00

Further details and registration here.

Please contact camilla.hobbs@gta.gg, GTA Programmes Manager, for further details on any of the above courses.

NED Development Programme

Guernsey will need to broaden its director talent pool to successfully meet the new challenges that 2023 will send our way. Do local boards have the right skills to overcome problems which they may never have encountered before e.g. disrupted supply chains, an increase in cyber-attacks, climate risks, investor pressures on ESG and a global War on Talent? In facing these

challenges, boards will need to anticipate skill gaps and be open to accepting non-traditional skill sets into the boardroom. How many boards that you know have directors with backgrounds in science or technology or CSR or human resources?

In the IOD Company Direction Programme Guernsey has a gold standard course that provides an excellent foundation for aspiring directors; and the GTA University Centre also offer a FREE mentorship programme for those knocking on the boardroom door. The NED Development Programme seeks to bring through the next generation of local directors with placements on boards under the guidance of experienced board members.

Through the NED Development Programme partner boards can help diversify and develop the next generation of local NEDs by transferring their experience, knowledge and skills to participants. Partner boards benefit from fresh thinking that a developing NED can bring to the table - they often have modern day skill sets not found on long-established boards.

For participants, this programme differs to others as – in addition to training courses and networking events – they benefit from a 12-month board placement including the provision of a mentor. This placement gives them first-hand experience of what it is like to sit on a board, an understanding of NED roles and responsibilities, and opportunities to develop core knowledge and skills required to become a NED. Participants leave the programme with the confidence, experience and knowledge to undertake full-time NED positions.

For further information please click on the button below or contact Simon Le Tocq on 224571 or email NED@gta.gg

SPONSOR ARTICLES

Read the Green Line: Having your cake and eating it?

Markets have rallied in expectation of a soft landing for the US economy and interest rate cuts from the Fed. As Steve Russel explains, markets can have one or the other, but both seems implausible. And any disappointment could leave investors feeling distinctly nauseous.

Click the button below to read the article.

Please contact Rachel Holdsworth if you have any questions.

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