To build a successful financial centre, we need to provide what the top fund managers need when they are choosing their destination. And, when we talk to these people, we find that international-standard regulation is always towards the top of their list. Media caricatures may suggest that financiers want to be given a regulation-free environment but the best people want to compete on a level playing field, not in a system that lets the unscrupulous get ahead. And, they want to know that there is a stable environment they can rely on so that the business they build today will not be blown away by hurried regulation tomorrow. When it comes to attracting business, we cut costs – not corners.
The cornerstones of Bermuda’s financial services industry are regulation and rule of law.

Bermuda is a well regulated, transparent and compliant destination. To attract people away from international financial centres in cities like London and New York, we need to offer a location that people can trust to offer the same security for their assets.

That is why we have levels of disclosure that put us on the OECD white list; why, unlike others, we’ve never been sanctioned for failing to uphold these standards; and, why, unlike any other offshore jurisdiction, we are Vice Chair of the steering committee of the OECD’s Global Forum. In our opinion, being an offshore jurisdiction should not be an excuse for failing to meet the standards that people rightly expect. So making sure that we meet the requirement for a new international directive is not something we are forced into doing – it is the sort of thing we thrive on.

Of course, we know that a secure business environment means more than just good     regulation. Bermudan law is based on English Common Law – so, we are in a system that is used across the world and that has been tried and tested over centuries. It is familiar, transparent and fair; it means that people can invest with confidence, knowing that they will not be vulnerable to the whims of an unpredictable legal system. And, if and when disputes arise, a simple arbitration process is easily available to iron out any issues fairly and efficiently.

But while we are tough on wrong-doers, we are not the sort of jurisdiction that imposes arbitrary rules. The Bermudan Monetary Authority has long held a policy of working closely with the firms it regulates. Potential problems can be spotted more easily, because we know the people involved, but it also means that they will always consult with the people who will be affected before regulations are implemented. As a result, the regulations work in practice, not just in theory, and rather than coming out of the blue, they are adopted in a way that means you can adapt in advance.

While we provide a stable environment in which to invest, we also strive to make the system work in other ways. Working in Bermuda does not come with the burden of excessive costs. We have a tax neutral environment in which international businesses can operate effectively and efficiently. Keeping costs down never goes out of fashion, but in a world where high public debt is increasing the pressure on large economies to raise taxes and hostility towards the finance industry is making conditions more difficult, it becomes even more important to be able to keep more of the business’ profits for the business to create jobs at home.

Importantly, our infrastructure is world-class. In the modern world, business is regularly conducted across borders and a fund manager needs to monitor his investments in London, Lisbon and Lahore. In this world, what matters is less where you are on the globe and more how easily you can connect to the rest of it. So, we have focused on providing the connectivity and the technology you need in order to conduct business anywhere in the world.

We have some great people in Bermuda. Of course, a centre like ours is always going to have great fund managers and service providers, people who are among the best in the world at making your money work harder and go further. But we also have all the other people you need if your business is going to succeed. All the big four accountancy and auditing firms and number one offshore law firms have all made their home in Bermuda. These are just some of the businesses who help to keep things running smoothly.

We have a wide range of well-trained professionals throughout the financial services industry. This not only means that you have a strong pool of talent to draw on, it also means that we have the capability to go beyond standard products and operations.

Because of the people who live and work here, Bermuda offers access to, for example, the international reinsurance market and niche investment funds. Indeed, 75 percent of the Fortune 100 are domiciled in Bermuda.

In order to attract international financiers, we offer a jurisdiction that matches international standards step for step. That is true whether those standards are the quality of regulation you expect, stability and the rule of law, or infrastructure and personnel. We do this in a way that keeps your costs down and lets you keep more of the money that you earn. In Bermuda, you can have European levels of regulation and stability without European levels of bureaucracy and cost. In a world where doing business is tough, we are working hard to make your job easier.