r&h private client services 2019 - rawlinson & hunterwealth reporting we believe that good...

1CONTENTS

1Introduction 2

2Private Client Overview

Jersey officeInternational networkTrust, company & foundation administration Family officeInvestment manager selection & monitoringWealth reportingJersey and UK private client tax servicesCharitable & philanthropyProtector & enforcerStrong relationshipsCompetitive advantage

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1012 15 16 17 19 19

3Business Strategy

Ownership and management structureFuture strategy

20

CONTENTS

4The Team 22

5Our Commitment 24

R&H Trust Co (Jersey) Limited is regulated by the Jersey Financial Services Commission.For details of our Privacy Notice please refer to www.rhj.je

R&H TRUST CO (JERSEY) LIMITED

PO Box 83, Ordnance House, 31 Pier Road, St Helier, Jersey JE4 8PW +44 1534 825 200 | [email protected] | www.rhj.je | www.rawlinson-hunter.com

INTRODUCTION2

ABOUTR&H

In a world where true independence combined with stability is rare, we are understandably proud of our long heritage, both internationally and here in Jersey.

Our Jersey business began in 1972. We have worked hard to build a consistent reputation grounded in exceptional service, highly personalised client care and an uncompromising approach to technical excellence.

Whilst the financial sector continues to develop, the core values R&H has always embodied remain at the heart of client relationships and the way we do business. We believe confidence in your service provider is key.

Our combined focus on retained independence and quality focused service sets us apart from other firms. We believe we have a unique competitive edge and the experience of a diverse client base from smaller family trusts to entrepreneurs and large family offices. Our expertise in understanding the complexities affecting UK connected clients is strong as is our experience of understanding the needs of multi-jurisdictional global families who hold a wide range of asset classes.

Core Values• professionalism combined with a highly

personal service• hard work, commitment and focus• stability, reliability and durability• loyalty to our clients, employees and

service providers• business ethics of the highest standard• teamwork

These attributes have enabled us to forge long-term relationships based on a spirit of trust and openness. We have attained our market-leading position through the quality of our client base, the strength and depth of our management team, the commitment of our employees and substantial re-investment in our business.

We have developed all our computer applications in-house which helps us to deliver our clients' requirements more efficiently and gives the flexibility to adapt and make improvements as needed.

Through collaborating with our clients, service providers and employees we have created a team of exceptional strength.

3INTRODUCTION

From left to rightPaul Pirouet, Katrina Williams, Matthew Christensen, Rob Laing,

Jen Geddes, Angus Spencer-Nairn, Kathryn Tully and David Goar.

PRIVATE CLIENT OVERVIEW4

PRIVATE CLIENT OVERVIEW

Our Jersey trust company business is one of the leading privately owned trust companies in the Channel Islands. We have no third party owners or investors and the business is owned by the partners who run it. All our directors are professionally qualified with qualifications in accountancy or law and a very high percentage of our employees are also professionally qualified.

Growth has been achieved organically through referrals and our developed reputation and not acquisition. We are a market leader because of the quality of our people and the business philosophy upon which our firm has been built.

R&H is an international grouping of privately owned businesses each specialising in the provision of private client and corporate services.

Established in 1933 by Alfred Rawlinson and Robert Hunter, the London office is a highly respected Chartered Accountancy firm and is the hub of the international network. There are R&H offices in ten jurisdictions and collectively these offices administer in excess of £60 billion of assets. The offices are in Australia, Bermuda, the British Virgin Islands, Cayman, Guernsey, Jersey, New Zealand, Singapore, Switzerland and the UK.

Jersey Office International Network

5PRIVATE CLIENT OVERVIEW

GUERNSEY & JERSEY

CAYMAN & BRITISH VIRGIN ISLANDS

AUSTRALIA

NEW ZEALAND

SINGAPORE

SWITZERLAND

UNITED KINGDOM

BERMUDA


TRUST, COMPANY & FOUNDATION ADMINISTRATION

Working in conjunction with our clients’ own tax and legal advisers, we effect the formation, administration and management of trusts, companies and foundations. This ranges from smaller trusts to larger complex family private client groups, services for family offices and the provision of private trust company services.

We also provide corporate administration services, including incorporation, management and accounting services for Jersey companies, (and companies from other jurisdictions), and Foundation administration services, including provision of the Qualified Member for the Foundation council.


FAMILY OFFICE

Many of our clients have come to value the trust and corporate administration services we offer, and have therefore requested that we assist them with their personal affairs.

This can include working closely with the family’s own family office or other advisors. We are flexible in the services we offer, but such services have included:

• Assistance with personal banking and payment of personal expenses. This is also important for UK resident non-domiciled individuals who need to manage carefully their remittances

• Payroll services including ITIS returns

• Provision of accounting information and bespoke reporting to other advisors or other family office entities

• Bookkeeping and accounts preparation

• Investment monitoring

• Tax compliance

• Wealth reporting


INVESTMENT MANAGER SELECTION & MONITORING

Our approach to investment monitoring is driven directly by R&H’s core values of independence and building long term relationships with our clients.

Our experienced in-house Investment Manager Review (IMR) Team has developed a customised process, including purpose-built software, which comprises three key steps:

• Client Profiling

• Investment Manager Selection

• Ongoing Investment Monitoring

Client Profiling

Trustees have a core fiduciary duty to act in the best interests of their beneficiaries and, in order to do so, they must gain an understanding of their long term goals and aspirations.

In conjunction with the underlying clients, and with support from the IMR Team, the trustees construct an Investment Policy Statement (IPS) outlining the objectives, reference currency, time horizon, risk profile, liquidity needs, restrictions and any other information pertinent to the overarching investment strategy for the structure.


Investment Manager Selection

We believe the trustees’ fiduciary obligation to preserve and enhance the value of assets applies in both nominal and real terms, and that it is necessary to invest assets in order to preserve wealth against the erosive effects of inflation over the long term.

We believe every client is unique, and therefore we tailor the process of selecting investment firms to manage assets on a case-by-case basis in order to meet specific client requirements.

We are completely independent in selecting investment managers, and have no reciprocal arrangements with any investment firms. Our only incentive to select one manager over another is that we believe they are better-equipped to achieve the specific investment objectives of the structure in question.

Although we view individual investment manager selection as being bespoke for each client structure, we apply the same rigorous and robust due diligence process on all investment managers in order to establish whether or not they are suitable to be engaged by R&H structures.

Ongoing Investment Monitoring

Our monitoring process seeks to ensure that our investment management providers deliver value for money for the trustees and our clients, achieving stated investment objectives within a robust risk management framework.

The combination of our purpose-built IT systems and highly experienced IMR Team allow us to conduct consistent and detailed analysis of investment performance on both a quantitative and a qualitative basis.

In addition, the trustees and IMR Team regularly meet with appointed investment managers in order to ensure a clear mutual understanding of long term investment objectives, drivers for past performance, current positioning and expectations.

As part of our investment monitoring process, the IMR Team produces wealth reporting for the trustees and their clients, which can be fully customised to suit individual client needs.


WEALTH REPORTING

We believe that good client reporting should be clear, intelligent and objective.

Our family office wealth reporting service, which capitalises on our proprietary IT systems, is fully customisable and allows us to provide clients with independent oversight and analysis of consolidated structure assets, individual portfolios and single holdings across the full range of asset classes.

As part of this service, our dedicated in-house IMR Team has significant experience providing support to trustees and their clients, including:

• Conducting due diligence on and selecting investment service providers

• Quantitative and qualitative analysis of investment performance

• Assessment of adherence to agreed mandates, with particular focus on investment risk and restrictions

• Liability and cash flow modelling for complex family structures

• Consolidation of other assets not held by R&H


Our team is also highly experienced in supporting the administration of private client and company structures which have a Jersey/UK tax connection. Specifically our team provides a full range of tax services to ensure that private individuals, trusts and companies meet their UK and Jersey tax filing and disclosure requirements. We provide in-house tax return preparation and computational services.

We also have appropriate systems in place to provide tax computations in a cost-efficient manner. Our accounting systems are capable of exporting information to the UK tax packages we use.

JERSEY AND UK PRIVATE CLIENT TAX SERVICES

Our in-house tax team provides tax compliance and advisory services to Jersey and UK resident individuals.

In addition, the team also help trustees and directors to implement tax advice where required, and can monitor offshore structures to ensure that tax guidance is adhered to. This may include:

• Liaising with banks and investment advisors to ensure that segregated accounts remain segregated;

• Monitoring investment portfolios to ensure that managers do not stray from their investment guidelines;

• Ensuring that beneficiaries are not subject to onerous tax liabilities by unknowingly receiving taxable distributions and benefits; and

• Our experience in managing the reporting requirements for UK connected individuals means we also have the skills to provide information to tax advisors in other jurisdictions, such as the US, if required.


CHARITABLE & PHILANTHROPY

We administer a wide range of charitable structures. We provide a bespoke range of services, but include:

• Administration, bookkeeping and accounting

• Review and monitoring of the investments held

• Provision of Qualified Member for charitable foundations

• Evaluation of donation requests to ensure in line with the charity’s purposes

• Provision of customised reporting to the trustees or foundation council

• Follow up assessment of donations to gauge effectiveness

• Modelling future estimated investment performance and cash flow against proposed donations to assess sustainability of the charity’s funds


A protector can play an important and valuable role in a trust.

Given the powers and rights available to a protector are not listed in Jersey statute, it is a bespoke position normally set out in the trust instrument, the creation of which requires careful thought. In general, the role of protector will imply a level of further review to ensure the trustees are acting in the best interests of the beneficiaries through oversight of their proposed actions and administration, and the exercise of consensual and sometimes active powers.

An enforcer is a rather different role and exists in the context of non–charitable purpose trusts where the trust instrument must provide for a person, different to the trustees, whose duty it is to enforce the trust in relation to its non-charitable purposes.

We are able to assist in discussions regarding the creation of the protector role and how the enforcer may plan to ensure they are able to enforce the trust.

We can act as protector or enforcer and take proper account of the specific requirements of a particular role, consider trustee reporting obligations and requests for consent and or when to exercise active powers.

We will attend meetings with beneficiaries, trustees and advisors as required.

PROTECTOR & ENFORCER


COMPETITIVE ADVANTAGE

We aim to provide our clients with service of the highest quality by attracting and retaining employees of the highest quality.

With over 45 years in the Jersey private client sector, new clients access a strong management team with a wealth of experience supported by a resilient IT and risk management infrastructure.

We have a highly distinctive employee culture with excellent staff retention. With strong links to a range of quality professional services firms and the stability of partnership ownership, we have been able to establish and maintain long-term client relationships built on trust and results.

We have a highly entrepreneurial and successful client base which enables us to provide an exceptional level of personal service. We are very selective with whom we enter into client relationships, with new clients typically referred to us by existing clients and intermediaries we work with regularly. It is extremely rare for us to lose a client.

Our approach is based on a model of growing with our clients.

STRONG RELATIONSHIPS

BUSINESS STRATEGY20

BUSINESS STRATEGY

The Jersey business is privately owned by local partners with no external shareholders or investors which provides us with a very stable ownership structure and enables us to manage our business in our clients’ best interests.

We are not constrained by the unwieldy bureaucracy often associated with large financial institutions nor are we obliged to report to and generate profits for external investors. We maintain a simple management structure which facilitates fast decision-making. Our business is managed prudently and we have never used debt financing.

Growth has not been a strategic objective of our firm but rather a consequence of facilitating our clients’ needs. We remain mindful of the need to develop whilst continuing to manage our growth through ongoing investment in infrastructure and staff.

We will preserve our distinctive business model and continue to focus on pursuing our clients’ best interests.

Ownership and management structure

Future strategy

21BUSINESS STRATEGY

THE TEAM22

THETEAM

David GoarSenior PartnerDavid specialises in providing trust services to high net worth individuals, with a particular expertise in dealing with trusts having UK and/or Jersey resident beneficiaries. David has a good understanding of compliance and reporting for US beneficiaries of foreign trusts.David qualified as a Chartered Accountant with Rawlinson & Hunter, London in 1986 and was seconded in 1988 to open an office in the BVI, a joint venture between R&H and the Guyerzeller Bank AG (now part of HSBC). He was made partner of the BVI office in 1992. In 1997 David joined R&H, Jersey as a partner.David was educated at Eton College, is an Associate member of the ICAEW and is a member of STEP.

Jen GeddesManaging PartnerJen joined R&H, Jersey in 1997 and qualified as a Chartered Certified Accountant in June 2000. She was then admitted to the Partnership in January 2005.Jen has many years of experience looking after trust and corporate clients, with complex structures and high net worth affairs. Jen enjoys looking after clients with traditional inherited wealth, as well as entrepreneurial clients with a more corporate feel.She has a BSc in mathematics from the University of Bristol and is a Fellow of the Association of Chartered Certified Accountants.

Paul PirouetPartnerPaul joined R&H, Jersey in 2008, becoming a partner in 2016. Paul specialises in trust and company administration with responsibility for a diverse range of both high net worth and entrepreneurial private clients. Since joining R&H Paul has also been involved with the set up and restructuring of a number of trust and company structures, including an increasing number of clients from the Middle East.Paul joined PricewaterhouseCoopers in 2000 after graduating from the University of Birmingham, and qualified as a Chartered Accountant in 2003. He then entered the trust industry by joining RBC Trust Company (International) Limited (RBC) that year where he qualified as a Chartered Tax Advisor with RBC in 2004.

Rob LaingPartnerRob specialises in the management of offshore structures for high net worth international families and entrepreneurs, many of which require careful management from a UK tax perspective. Rob also heads up the Jersey office’s in-house tax department which provides local advice and UK tax compliance, computational and operational support for trustees and UK tax advisors.Rob joined R&H, Jersey in 2006, becoming a partner in 2009. Prior to this, he worked for a number of years within the private client tax department of Rawlinson & Hunter, London, where he specialised in the field of offshore tax planning and advised non-UK domiciled individuals on the efficient structuring of their worldwide assets. Rob first embarked on a tax career at BDO Stoy Hayward in 1996, having trained as a solicitor at the College of Law, London.

23THE TEAM

Kathryn TullyPartnerKathryn joined R&H, Jersey as a Partner in 2009 having previously worked as a trust director at RBC Trust Company (International) Limited. She trained with Ernst & Young Trust Company (Jersey) Limited and qualified as a Chartered Certified Accountant in 2000.Kathryn specialises in trust and company administration and international tax planning, managing the affairs of many high net worth individuals and the administration of corporate structures.Kathryn studied at the Universities of Durham and Oxford and is a Fellow of the ACCA and a member of STEP.

Matthew ChristensenDirectorMatthew joined R&H, Jersey as a director in 2018. Matthew specialises in trust and company administration, bringing significant experience in working with ultra high net worth families, family offices and individuals. Matthew obtained a BA Hons from the University of York in History and qualified as a chartered accountant with Deloitte, London. He has, subsequently, gained additional experience in management consultancy, corporate finance and restructuring. Prior to joining R&H, Matthew was a director at Intertrust, Jersey and previous to that worked at KPMG Channel Islands Limited which included a secondment to Jersey Finance.Matthew has served as a committee member of the Jersey Association of Trust Companies (JATCo).

Angus Spencer-NairnDirectorHaving qualified as a Chartered Accountant in 1970 Angus joined the firm in 1975, becoming a partner the following year. His specialist areas of work are in company and trust administration and international personal tax planning, currently administering some substantial trusts. Angus is also closely involved in a number of charitable trusts.Angus is a Scottish Chartered Accountant, a member of the Royal Agricultural College and of STEP. He is also ex-President of the Jersey Association of Practising Accountants.

Katrina WilliamsDirectorKatrina joined R&H, Jersey in 2007 and was made a director of R&H Trust Co (Jersey) Ltd in 2016. She specialises in dealing with offshore trust and fiduciary structures. Katrina works with a diverse range of entrepreneurs and high net worth families with a particular focus on servicing the estate planning needs of clients connected to the UK and the US.Katrina obtained a BSc Hons from the University of Bath in International Management and French and qualified as a Chartered Accountant in 2006, undertaking her training with KPMG in London.She became a member of STEP in 2009 and was named in the Private Client Practitioner’s Top 35 Under 35 for 2013 and 2015.

OUR COMMITMENT24

OURCOMMITMENT

Unlike many financial institutions we do not regard our service as a product. To us, our work is all about building long-term relationships. We passionately believe we have a culture that is rare and a business model that is distinctive. Our independence enables and drives what we do and it is a foundation we are committed to for the long term.

r&h private client services 2019 - rawlinson & hunterwealth reporting we believe that good...

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