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

Members' Area

Please note that the password to access your Members' Area page on the GAT website is "Trustees".

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

The GAT Luncheon will be held at Moores on Wednesday 7th July, at which we will also hold our Annual General Meeting. We are delighted to welcome Aspida Group who will be presenting about 'Conflicts of Interest.' All members are warmly encouraged to attend, please register below. 

As always, I would be pleased to hear from members to understand any frustrations or concerns - contact me.

Enjoy your June newsletter. 

Kind regards

Rhona Humphreys

GAT Chair

Our Annual General Meeting will be held on Wednesday 7th July 2021 in the Conservatory at Moores Hotel at 12.30pm, followed by a presentation on Conflicts of Interest from our sponsor, Aspida Group.

Our Chair, Rhona Humphreys will also provide an industry update and overview of 2020.

Please click on the image above or the button below to register.

NEWS

National Cyber Security Centre - ransomware update

Given the ongoing rise of the threat of ransomware, the National Cyber Security Centre have put together a slide containing all the NCSC blogs, advice and guidance on ransomware.  All of the information is on the NCSC website: https://www.ncsc.gov.uk/

Lindy Cameron, CEO of the NCSC, stated in a speech on 14th June to RUSI that “for most UK citizens and businesses, and indeed for the vast majority of critical national infrastructure providers and government service providers, the primary key threat is not state actors but cyber criminals, and in particular the threat of ransomware."

You can read the full lecture HERE and access the slide NCSC has compiled with a link to various resources given the growing risk of cyber attacks below:

Consultation Paper on the Codes and Guidance Documents proposed to be re-issued under Revision of Laws

The Guernsey Financial Services Commission issued a consultation paper on 10th June 2021 seeking views from interested parties as part of the implementation of the Revision of Laws Project.

The Consultation Paper relates to the proposed re-issuing of the Commission’s codes and guidance due to the revised supervisory laws arising from the Revision of Laws Project.  The draft codes and guidance do not implement policy change but replicate the current codes and guidance with the incorporation of minor amendments such as updated references and new terminology where necessary.

Respondents are encouraged to submit their comments online and responses are sought by 26th July 2021.  

Please click the button below to take you to the Consultation Paper:

Considering climate change – the Commission publishes updated Finance Sector Code of Corporate Governance

The Commission published the amended Finance Sector Code of Corporate Governance on 10th June which asks Boards to consider the impact of climate change on their strategy and risk profile and, where they judge it appropriate, make climate change related disclosures. The amendment will come into effect for financial years starting from 1st October 2021. A copy of the new code can be accessed via the button below.

Climate change reduction targets will materially alter the economic world we live in over the coming years and may hopefully have a positive impact on our environment. The Commission’s aim in amending the Code is to ensure Bailiwick firms are prepared to engage with this issue in a way that is proportionate to the nature of their businesses, whether it be through client demand for more sustainable solutions or the impact of climate change policies on their asset bases, for example.

Speaking about the updated Finance Sector Code of Corporate Governance, Director General of the Commission, William Mason, said “Amending the Code encourages Boards to prepare for a future in which green consideration and green disclosure are likely to become an important part of international standards for financial services firms.  The changes made today are low key in themselves – designed to encourage timely preparation and action without materially increasing firms’ administrative burdens.”

This amendment was consulted on as part of the Commission’s Spring Green Consultation, issued on 11 March 2021. There was broad support for the proposal and a feedback statement addressing the consultation feedback can be found via the button below.

The Commission is grateful to everyone who contributed.

New Commissioner Appointed

The Commission is delighted to announce that Mr Julian Winser has been sworn in as a Commissioner after being approved by the States of Deliberation. The vacancy arose following the retirement of Mr Bob Moore, the Commission’s former Vice-Chairman. Mr Winser will be appointed as the Commission’s Chairman on the retirement of Drs Cees Schrauwers in December.

Speaking about the appointment, Drs Cees Schrauwers said: “I am delighted that Julian has been appointed as a Commissioner. Julian brings a wealth of financial services knowledge and professional expertise which will be hugely valuable to the Commission.”

Read more about Mr Winser HERE

March Quarter 2021 Investment Statistics

The Commission has published the Investment Statistics for the first quarter of 2021.  The full report can be viewed by clicking the button below.

Social Investment Fund announces two new Directors

The Social Investment Fund (SIF) is delighted to announce that two new Directors have joined the board, Rachel Copeland BEM, and Andrew Ozanne OBE.

Following the retirement from the board of Susie Crowder, SIF received a wide range of applications from candidates with diverse backgrounds who were all keen to support the vital work of the Bailiwick's third sector.

Both Rachel and Andrew were chosen owing to their vast experience of third sector work, including having previously held roles where they have needed to assess grant funding applications, and for their experience of having worked in partnership with the States on various charitable and community initiatives.

The Social Investment Fund is a separately constituted body, acting as a States partner, which uses public and some private funds drawn from a variety of sources to invest in the charitable and third sector, helping to build greater partnership and joint working between the States and the charitable and third sector.

Home Affairs launch the new Economic & Financial Crime Bureau

A new, independently led, enforcement entity has been established by the Committee for Home Affairs, in full consultation with the Policy & Resources Committee, to investigate money laundering, economic crime and recover the proceeds of unlawful conduct.

A new, independently led, enforcement entity has been established by the Committee for Home Affairs, in full consultation with the Policy & Resources Committee, to investigate money laundering, economic crime and recover the proceeds of unlawful conduct.

The EFCB will use the full range of investigative tools and legal remedies available and will overhaul the use of information and intelligence to identify criminal wrongdoing, drive up casework and locate the proceeds of crime with a view to confiscation.

The Director of the EFCB, Kevin Davis, appointed earlier this year, will report to the Committee, and will work in collaboration with the Head of Bailiwick Law Enforcement, the Law Officers of the Crown and other key partners.

Deadline extended for response to the new economic activity return pilot in Guernsey and Alderney.

The deadline has been extended to 1st July 2021 for the pilot of a new economic activity return that seeks to collect specific information on economic activity in Guernsey and Alderney.

The information will be used primarily to improve the accuracy of the Gross Value Added (GVA) and Gross Domestic Product (GDP) figures and forecasts that are published by the States of Guernsey and used in various ways.

While not compulsory this year, you are strongly encouraged to submit a return (and feedback on the return form and submission process) if you are a sole-trader or you are the representative of an organisation that operates in Guernsey or Alderney.

Returns will become mandatory for all organisations meeting threshold criteria in 2022, so the deadline has been extended to enable more people to take part in the pilot. More information about the pilot and how to access online and paper copies of the return form can be found by clicking the button below.

Civil Contingencies Authority announces travel rules from 1st July

The Civil Contingencies Authority (CCA) has announced the travel rules that will be in place from 1 July 2021. These are slightly different to what was announced previously.

If you are fully vaccinated and 14 days have passed since your second vaccination, there will be no isolation or testing requirements if you are arriving from the Common Travel Area (CTA). This means you will be in the “blue channel” travel category. The CTA includes the United Kingdom, the Bailiwick of Guernsey, the Bailiwick of Jersey, the Isle of Man and the Republic of Ireland.

If you are not fully vaccinated or if you have had both doses of vaccination but 14 days have not passed since your second dose, then country and region categories will apply as normal. 

If travelling into the Bailiwick from anywhere outside the CTA, the current country category isolation and testing requirements apply. If you have been outside the CTA in the 14 days before you arrive in the Bailiwick then the country category applies regardless of your vaccination status.

It is important to note that Public Health will still apply overrides to country or region listings if it has any concerns. This CAN include countries/regions within the Common Travel Area.

For detailed information and a full list of country and regional categories please click below.

EVENTS

A 'Summer Bonus' STEP Lunchtime Lecture will take place on Thursday 1st July at the OGH.

The lecture will be presented by Martin Popplewell of Deloitte LLP, who will be providing an overview of the global landscape around CRS compliance, what tax authorities are doing to monitor CRS compliance, and how industry is responding to these challenges.

The new series of STEP Lunchtime Lectures will commence on 14th September with Mark Renouf and Mark Coutanche of Investec presenting 'A Guide to Lending for Trustees'.

Please ensure that you/your colleagues are on our local branch mailing list to continue to receive updates from STEP Guernsey. If you wish for a colleague to be added to our mailing list, please sign up here:  STEP Guernsey Mailing List

July GTA Courses & Events

Members may be interested in the following courses and events taking place in July:

Launch – Institute of Directors Development Programmes

Join us to find out about the IoD Certificate and Diploma in Company Direction, the IoD Accelerated Certificate in Company Direction and the IoD Introductory Certificate in Board Readiness.  There will be a short presentation by IoD Guernsey, the GTA and a past student which will be followed by a Q&A session.  Tea, coffee and sandwiches will be provided.

Cost: FREE (but please register to confirm your place)
Enrol by: 5 July 2021
Venue: GTA University Centre
Times: 12:30 to 13:30
Further details and registration here.

 
Compliance CPD Series 2021 – Who wants to be an MLRO?

Join Simon Florance of Carey Olsen for the latest session in our popular series as he explores the changing role of the MLRO in Guernsey, its roots in the embryonic regulation of Guernsey’s financial service industry and increasing requirements of the role.  Delegates will understand how the role fits into modern financial services businesses and also be given an overview of what could go wrong if the role is not given the consideration it is due; hearing about current cases and the Guernsey regulatory approach.

Cost: £45
Enrol by: 13 July 2021
Venue: GTA University Centre
Times: 12:30 to 13:30
Further details and registration here.

 
STEP Advanced Certificate in UK Tax for International Clients

The STEP Advanced Certificate in UK Tax for International Clients deals with what a private client expert needs to know to understand the impact of UK Tax on three particular client groups: a non-UK domiciled UK resident individual; trustees, settlors and beneficiaries of a non-UK resident trust and participators in a non-UK holding company.  The aim of the course is to support delegates looking to acquire a sound understanding of these complex rules.

Cost: £845
Dates: Enrol by 16 July 2021
Venue: Online
Further details and registration here.

 
STEP Certificate in International Trust Management

The STEP Certificate in International Trust Management offers you a detailed insight into the creation and administration of trusts in an international context and increases your knowledge of the practical and academic issues arising in the industry.

Cost: £1,575
Begins: Enrol by 30 July 2021
Venue: online
Further details and registration here.

SPONSOR ARTICLES

KPMG and The ID Register announce alliance

KPMG in the Crown Dependencies and The ID Register today announce their alliance.

The combination of The ID Register’s one-and-done KYC, FATCA-CRS and Subscription hub and the deep expertise of the  KPMG tax and advisory teams makes a compelling offering to family offices, institutional investors, investment managers and their service providers, and fiduciary companies.

Regulated in Guernsey, The ID Register is a compelling and efficient solution to the longstanding problems of analogue onboarding. As the trusted independent hub of the global investment community, The ID Register already offers investors streamlined Subscription, KYC and FATCA-CRS services to the highest global standards and is trusted by over 25,000 investors and 270 clients as the onboarding authority across the global investment community.

Easy money comes, easy money can go

Over the past five months investors put more money into equity funds than in the previous twelve years combined.

It’s easy to see why. There is a lot of spare money around. Central banks have flooded the economy with support, and generous government subsidies have filled the gap for millions of individuals. Those who could, saved.

One thing is clear however, these savings are not going into conventional bonds. Instead, they are being piled into equities. Why? Consumer confidence has rebounded to pre-pandemic levels, activity is picking up and corporate earnings are rebounding strongly.

At Ruffer we believe we are entering a new regime with the threat of inflation looming, which will be disastrous for conventional bonds. But what will this new regime – with the global economy poised for a growth spurt – mean for equities? To find out more please click below to read the full article.

Please contact Rachel Holdsworth should you have any questions.

Conflicts of Interest – uppermost in the minds of regulators!

Most board meetings start with a ‘Declaration of Conflicts” but how often do you nod them through, rather than stop and think about the wider impact the management of conflicts has on your day to day business?  Regulators certainly pay increasing attention to them.

Conflicts come in all shapes and sizes, with some such as independent verification of values for sale/transfer of investments or properties, the payment of commissions very obvious. Others, perhaps less so, the payment of fees to the Trustee/administrator on a time spent basis, the use of available cash in preference to other debtors etc.. The list goes on.

Ensuring that conflicts of interest, whether actual, potential or perceived; direct or indirect, are properly managed is central in regulatory regimes to the underpinning principal of integrity and treating customers fairly.

Carey Olsen named best offshore law firm by eprivateclient

Carey Olsen has been named best Private Client Offshore Law Firm at the 2021 eprivateclient Excellence Awards.

Winners of the inaugural awards, which are focused exclusively on recognising the outstanding achievements of firms across the UK and offshore legal, tax, fiduciary and advisory professions over the past year, were announced during a virtual ceremony yesterday evening.

According to the eprivateclient judging panel, Carey Olsen stood out as a result of the firm's 'ability to provide clients with with a full service legal offering, its excellent charitable work, its strong ESG credentials and development opportunities and initiatives available to the next generation of both clients and offshore lawyers'.

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