Guernsey is continuing to make progress in business connections with the Chinese market.
Guernsey businessman Charles Scott, from Alternative Risk Management, has made significant progress introducing captives to the region over the past couple of years.
Last year he established a joint venture to promote captive structures and management services with Chinese captive group Beijing Airport Captive Management Consulting. Now he is closing in on more deals, having spent two-and-a-half years working with Chinese contacts, making some 15 trips to the region.
"Personally I am very excited about the opportunities in China. Captives are virtually unheard of, virgin territory, and I know of no other domicile marketing captives to China corporates," he said, at an event organised by Guernsey Finance, the promotional agency for the Guernsey finance industry, and held in the island.
"I believe there is a huge opportunity and I would absolutely urge my colleagues in the industry to come over, do the hard yards, and you will see the rewards."
Mr Scott said that the regulator the Guernsey Financial Services Commission had been "very supportive" of enabling Chinese business in the island, with sometimes additional due diligence issues created.
The event also heard from Wendy Weng, Guernsey Finance's long-serving Shanghai representative, who said that the Chinese government had been supportive of Guernsey's promotion of captive insurance in the country, which has also had an educational element.
She added that she was heartened to see more Guernsey firms moving into China or Asia, and more visits being made by Guernsey practitioners to the region. She urged local firms to "work as a team" in getting best value from the market.
Ms Weng visits first and second-tier cities every month, meeting local government, intermediaries, institutions and professionals to promote Guernsey and its services. Guernsey hosts at least one event a year in mainland China.
Guernsey Finance has been in China since 2007, and employed its first Hong Kong representative in 2016.
Progress in China has included the signing of Memoranda of Understanding with Chinese authorities – an essential for making progress in business in the country – and several business wins for Guernsey firms in the country. Two Chinese families have also relocated to Guernsey following business connections with Guernsey Finance in the past 12 months.
"Guernsey is uniquely positioned to serve the needs of this market, whether through risk management tools in the insurance sector, long-term asset protection with the fiduciary sector, or using an international investment fund distribution platform. Guernsey and Chinese companies can grow internationally together. The hard work we all put in now will yield dividends in the future," said Kate Clouston, Deputy Chief Executive at Guernsey Finance.
Also speaking at Guernsey Finance's China Update event were Guernsey Finance's Hong Kong representative Dorothy Kwok, and HSBC London-based Director of China and RMB Internationalisation Sue Anne Tay, who gave an oversight into Chinese investment strategy and the country's Belt and Road initiative.
For more information about Guernsey's finance industry please visit www.weareguernsey.com.
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