OneLife’s International Investment Forum, crossing borders for clients and investments!

Brussels. 18 October. 11^th edition of OneLife’s International Investment Forum.

The Investment Forum is OneLife’s annual event, providing a forum for networking, exchange and debate on the main topics and trends affecting life assurance across Europe. In the morning, workshops on cross-border solutions and non-traditional assets; in the afternoon, a focus on traditional Investments led by our fund house partners. And all on the theme of Crossing borders for clients and investments!

This year’s Forum welcomed over 500 participants to the Brussels Kart Expo, with close to 50 exhibiting investment houses (both traditional and non-traditional players), an array of speakers from across the industry as well as OneLife’s own teams of experts … Visitors interacted digitally as well as face to face with the aid of the Poken device, allowing the exchange of contact details, download of fund documentation and voting on the quality of the workshops and conferences, all through a simple touch of the Poken!

About the OneLife Investment Forum

Antonio Corpas, CEO OneLife, gives his view on the Forum: “The Forum, now in its 11^th year, owes its success to being ‘open’. Open to exchange, open to what’s affecting our industry, open to change. How we adapt and work with our partners in an evolving world is key …”. The Forum was created for its Belgian partners, a market where OneLife leads, and in the past 2 years has been extended to international markets in line with the company’s growth strategy resulting in participants from over 10 countries in attendance! The Forum provides the opportunity for an entire day of meeting, networking and exchange on the important issues facing the financial services sector and insurance today. With OneLife’s distribution partners on the one hand and our investment partners on the other, we consider: What are the changes affecting our industry? How do we confront them? What are the opportunities they offer?

Cross-border wealth planning

Following an opening address by Antonio Corpas, OneLife CEO, the Forum kicked off with a number of morning workshops presenting the benefits of using Luxembourg life assurance as a cross-border wealth planning solution. With its flexibility, high levels of investor protection and portability across borders, a life assurance policy is an effective way to protect, preserve and transfer wealth through the generations. With the increasing mobility of HNWIs and their families, the complexity of international tax and the diversity of assets available, finding the right wealth planning solution isn’t always easy. OneLife’s experts, hand in hand with speakers from international legal firms, asset managers and non-traditional assets specialists, covered a variety of subjects ranging from the opportunity provided by real estate investments, wealth planning solutions with special focus on UK-Spain and France-Belgium-Portugal and the pan-European marketplace for debt.

Traditional Investments

In the afternoon, over 40 fund houses had the opportunity to present their fund strategies, asset allocation models, performance and points of innovation across many industry sectors to Forum participants. With active debate and exchange as an integral part of the workshops, understanding the diversity and opportunity offered by investment funds is key to success in managing client portfolios. OneLife’s approach of gathering the top international fund houses for an afternoon of thought leadership provides investors with a unique perspective into the world of investment and its latest trends and techniques. External funds can be held as underlying investments in life assurance policies, investments which help to preserve and grow wealth over the long-term.

Non-Traditional Investments

This year, OneLife invited 8 non-traditional asset managers to attend the Forum. It was the opportunity to present the increasing appeal of non-traditional asset classes such as Private Equity, Real Estate investments, Financial Holdings and Securitisation. Investing in just non-traditional investments or combining them with more traditional ones like Equities, Bonds, Money Markets and Unquoted Assets can help give higher levels of return to portfolios and opens up a wide range of new asset class opportunities to the investor. Investing in non-traditional assets is possible using a Luxembourg life assurance policy. OneLife’s own dedicated team of non-traditional experts are market leaders and can help throughout the entire process of onboarding this asset type into an insurance policy. Find out more! => #Success in #Investments.

Towards the future of distribution …

The OneLife debate focussed this year on The Future of Distribution – the challenges and opportunities facing the financial services industry as it shapes up to increasing regulation, the digital (r)evolution and the emergence of new players from new industries like FinTech.

What do these changes mean for the business and servicing model going forward and what are the keys to success in this environment?

Moderated by Antonio Corpas, CEO OneLife, three speakers debated the future of distribution bringing insight from their own unique perspectives:

Neil Browning, Executive Director – Saxo Bank

Neil is in charge of relationship management and digital sales for EMEA at Saxo Bank. With 20 years in the finance industry, Saxo Bank is one of the first financial institutions to develop an online trading platform providing ordinary investors with the same tools and market access as professionals.

Jean-François Chatelain, Founding Partner – Family Partners

Jean-François is the co-founder of Family Partners, a French multi-family office created in 2011 and dedicated to the support of wealth families. He has extensive experience with UHNWI on the international scene.

Marc Gouden, Partner – Philippe & Partners

Marc has been with Partner at Philippe & Partners law firm since 2005 in charge of providing legal advice, assistance in contract negotiation as well as litigation services in international business law and has a special focus on the insurance sector.

On the subject of regulation, despite the burden it brings, opportunity is never far behind. Marc Gouden for example sees increased professionalism resulting from more regulation coupled with less litigation due to better informed files and express investor consent.The views of our speakers on the impact of the digital transformation were mixed with Saxo Bank’s technologically sophisticated trading platform offering new services to investors. Whilst in the Family Office world, the reliance on paper-based documentation and services is still the norm.

Speakers agreed that new FinTech players have the potential to bring new services to the wealth management industry and that a balance of traditional and non-traditional solutions would create valuable partnerships for both clients and intermediaries alike.

Thanks to all participants who came to this year’s OneLife International Investment Forum – and we look forward to next year!

Experience the OneLife International Investment Forum first-hand: watch => our video and see the => pictures!

Want to know more about Investments? Download our #Success in #Investments => e-book and => Checklist. And find out how Non-Traditional Assets (NTA) can help you make the most of your investments!

The Van Dewael family opts for Securitisation

The Van Dewael family has worked hard for decades and now they are ready to venture into less traditional investments with their savings, such as FinTech companies. To do so, their wealth manager has advised that they take out a life assurance contract and use a Securitisation vehicle to efficiently structure their investments for cross-border portability.

With this fully customised solution, Geert and Inge can invest in both unquoted assets and more traditional assets.

It is also flexible such that Geert and Inge can use it as an integrated succession planning and investment tool. Beyond this, if the couple decide to relocate for their retirement, the life assurance contract can be customised for tax benefits. This comes into play when the beneficiaries receive their inheritance, allowing them to benefit from any inheritance tax reliefs related to the life assurance contract.

OneLife has over 25 years’ experience in providing Luxembourg life assurance solutions which stand the test of time. Whether it be inheritance planning, cross-border portability or dedicated investments, our team of experts is there to find the best solution for you and your family’s situation.

To learn more about the investment solution for the Van Dewael family, download our e-book => here and check out our Investments Checklist = > here!

Meet the Van Dewael Family

Geert and Inge take a special interest in FinTech companies and would like to invest part of their savings to support the growth of these firms. Ideally, the investments would generate enough return for them to retire and leave a healthy inheritance for their children.

Their wealth manager advised them to take out a Luxembourg life assurance contract and to use a Securitisation vehicle to efficiently structure their investments. This gives them full control to customise the solution to their needs and also the possibility to multiply invested assets while segregating risk. Throughout the contract, Geert and Inge would not only be tax compliant in all the relevant jurisdictions but their children would also benefit from a tax efficient wealth transfer.

Choosing Securitisation as an option brings the possibility of highly-tailored investments combined with a wide range of yield, risk and maturity permutations. The Luxembourg regulatory framework offers a flexible and diverse approach to the structuring of these vehicles which means that the investor can target distinct transactions whilst segregating risks on the assets. What might seem complex at the outset can be made simple.

Interested in finding out what the solution for the Van Dewael family is? Download our e-book = > here!

Diverse investment options for international wealth

Usually, High-Net-Worth Individuals (HNWIs) lead international lifestyles and as such, diverse investment options are needed to manage and grow their international wealth.

Investing in non-traditional assets opens new avenues for wealth creation by allowing investments in Private Equity, Real Estate and Securitisation, among others. Wrapping your head around the wide range of options available can be tricky and like the name suggests, there is nothing typical about non-traditional assets.

These assets are less affected by market fluctuations and changes to interest rates, unlike other investment options such as equities and bonds. Non-traditional asset classes, that are long-term by nature, can offer stability to investment portfolios and above average returns with relatively lower levels of risk.

In low-interest rate environments, returns can be hard to come by and lacklustre at best. Thinking non-traditional investments opens the door to more diverse portfolios and new asset types. Like Private Equity, Real Estate and/or Securitisation Vehicles. These more specialised types of investments give access to multiple industry sectors which are often innovating in their fields, like Start-up and FinTech companies. The opportunity for investors to finance some of these fast-growing sectors, follow their passions and invest in opportunities across borders is an exciting prospect. Especially when combined with the peace of mind and security that a Luxembourg life assurance policy brings.

Click => here to learn more about investing in non-traditional assets.

Introduction to non-traditional investments

In the world of a High-Net-Worth Individual (HNWI), there are many things that can be complicated -wealth and succession planning, managing tax across multiple jurisdictions and navigating a cross-border lifestyle, to name a few. However, investing in non-traditional assets doesn’t have to be complex, despite sounding it!

With the OneLife solution, non-traditional assets can be integrated into your life assurance contract – covering investments within Private Equity, Real Estate, Securitisation, Financial Holdings, as well as managing the transfer of wealth between generations.

*SIF = Specialised Investment Fund

RAIF = Reserved Alternative Investment Fund

SCS = Sociétés en commandite simple / Common Limited Partnerships
SCA = Sociétés en commandite par actions / Corporate Partnerships Limited by Shares

S.àr.l. = Société à responsabilité limitée / Private Limited Companies
S.A. = Société anonyme / Public companies limited by shares

With the high levels of customisation and flexibility that a Luxembourg life assurance policy provides, at OneLife we work with you to find the investment solution which best suits you. The one that helps you to unlock potential for growth and diversify your portfolio – all within the safe and secure framework of Luxembourg life assurance.

Non-traditional investments may also be combined with traditional ones, giving you the opportunity to take advantage of a wide range of asset classes. And if you decide to relocate one or even several times, the portability of your policy makes it possible to meet all cross-border requirements. So if you want to pass on wealth to the next generation just as you want to, make it grow while keeping it safe, live a mobile lifestyle – a life assurance policy from OneLife is the ideal solution!

Interesting in learning more about investing in non-traditional assets? Check out this => link!

#Success in #Investments

Think you know everything there is to know about life assurance? Think again!

Life assurance is a great succession planning solution and is flexible enough to be portable across borders. But that’s not all. A OneLife assurance policy also offers the opportunity to build your personalised investment plan. It can cover investments into traditional assets like Equities, Bonds, Money Markets, Unquoted Assets and also non-traditional assets like Private Equity, Real Estate, Securitisation Vehicles, Holding Companies … making it an attractive solution to help you manage your wealth, make it grow and pass it on to the next generation with complete peace of mind.

It sounds complex but we make it simple! To find out how to navigate your way around investment jargon and what it really means, check out our #Investments Jargon Buster!

Take a look at how other HNWs are making use of non-traditional assets. Like the Van Dewael family who are using their life assurance policy to invest in Start-up and FinTech companies. André and Martine Leroux hoping to relocate to sunnier climes by investing in high-yield assets. And the García family, planning for their future by investing in real estate.

Just some of the families who are using non-traditional assets to follow their interests and realise their dreams.

To find out how life assurance can help out a family, click through to our SlideShare = > here!

VAT New features and key points

Whenever people speak to you about VAT, perhaps you find the topic daunting, and wish to change the subject to something more congenial.

You are right – in some respects, yet mistaken in others!

Like life assurance, VAT is seen as a complex subject that the layman has great difficulty in grasping. We are dimly aware that we pay VAT often and for just about everything. We have to admit that we don’t always know why we must pay this tax, and yet we pay it… Rightly or wrongly!

What is VAT?

VAT is a tax, Value Added Tax (TVA – Taxe sur la Valeur Ajoutée), a French invention introduced by that country’s legislation in 1954, and harmonised across Europe in 1967.

What is VAT for?

The French have a widely-used expression: “In France, we don’t have oil, but we do have ideas!“. It arose because State budgets are always under heavy pressure (except for Germany), and the French discovered this as an almost painless way of drawing large amounts of tax revenue into the public purse.

Tax revenues are of two types: direct taxation such as personal income tax (impôt sur le revenu des personnes physiques – IRPP) or corporate tax (impôt sur les sociétés – IS), and indirect taxation such as VAT or the tax on petroleum products, for example.

In France, in 2015, direct taxation (personal and corporate tax as previously mentioned) accounted for 25% (€69.5 bn) and 12% (€33.1 bn) respectively of tax revenues whereas VAT garnered tax revenues of €142.6 bn, equivalent to 51% of the total! And it all operates without your being aware of the fact.

It was this that persuaded the other European States to introduce a system on similar lines.

In Luxembourg, VAT was introduced in 1970 via the early VAT directives, while Belgium devoted an entire legislative code to the matter.

How does VAT work?

Value Added Tax is charged on value added. Let’s take the example of an everyday product, your morning coffee.

The coffee producer produces its coffee at a cost of €10, and sells it to a wholesaler for €20 net of tax (Hors Taxes – HT). The producer’s margin is therefore €10.

With VAT included (Toutes Taxes Comprises – TTC) and applying the French VAT rate of 20%, the sale price will be €20 * 1.2 = €24, with €4 including VAT collected by the producer and paid by the wholesaler.

The wholesaler sells the coffee on to a retailer for €30 net of tax, making a gross margin of €10. The wholesaler’s sale price is €30 * 1.2 = €36. Thus, he collects €6 in VAT after paying €4 in VAT to the producer.

He must therefore declare €6 in VAT collected less €4 in VAT paid = €2. Those €2 payable to the tax authorities represent 20% of the wholesaler’s value added of €10. Proved!

The system works all the way along the links in the production chain up to your purchase of coffee capsules. You are therefore the final payer of all the VAT paid by the professionals who process the product and for whom the tax is virtually painless. All they have to pay is the excess of VAT collected over the deductible VAT paid on the purchases they make.

What is VAT chargeable on?

On almost all products and services in your everyday life: your morning coffee, the purchase of the car or bicycle that takes you to work in the morning, or what you pay at the supermarket or cinema. VAT reaches everywhere and, paradoxically, you have become so used to it that you are no longer aware that it’s there.

What is the position for insurance?

Insurance activities are taxable services which very largely benefit from a number of exemptions. This lessens the cost to policyholders, once again making the insurance policy an invaluable component of wealth and inheritance planning.

In the normal course, the products and services supplied by OneLife should be included among taxable services. However, Article 44 of the Luxembourg VAT Act specifically exempts “insurance transactions (…), including the provision of services connected with such transactions by insurance brokers or agents”.

Thus, the services both of OneLife and of OneLife’s authorised broking partners are exempt. This is unfortunately not always the case for every insurance-related transaction. We shall review the matter in detail.

VAT and insurance – exempt transactions

In the same way as for the transactions of OneLife and its authorised broking intermediaries, other transactions are exempt and are included among the exemptions under the Luxembourg VAT Act, namely the following:

Trade in financial instruments
Deposits in cash by custodian banks (but not deposits of financial instruments)
Management of Collective Internal Funds, a new feature in 2017 marking good news for policyholders in reducing the fees paid by policyholders and improving the performance of these internal funds.

Unfortunately, however, not all transactions connected with insurance policies are covered by exemption.

VAT and insurance – transactions chargeable to VAT (=> “Vattable”)

Deposits of financial instruments by custodian banks, although such deposits enjoy a preferential rate known as the “parking rate”;
Management of financial instruments;
Management of dedicated Internal Funds and Specialised Insurance Funds;
Distribution of insurance products by intermediaries who do not have broker authorisation.

Thus, managing a dedicated Internal Fund is a taxable service, and VAT is assessed directly on the value of the Internal Fund.

Fortunately, the exemptions applying to most insurance transactions make this investment class far outweigh other wealth planning tools, particularly banking instruments.

And besides, VAT rates should be compared in order to be convinced of the competitive advantage of Luxembourg life assurance compared with its Belgian, French, Finnish, Danish or Swedish counterparts.

VAT rates applicable in Europe

In France, the standard rate of VAT is 20%, as against 21% in Belgium, 24% in Finland and 25% in Denmark and Sweden.

In Luxembourg, the standard rate of VAT is 17%, the lowest in the entire European Union! This is another incentive for life assurance policyholders to invest in a OneLife Luxembourg policy rather than in the policies of their own countries, in addition to the security, transparency and incomparable investment opportunities of the Luxembourg life assurance policy.

OneLife stands ready, alongside its partners and clients, to deal with any VAT-related queries concerning life assurance, or indeed any other queries.

Author: Jean-Nicolas Grandhaye

Unit-linked life assurance contracts and non-traditional assets

Did you know that Luxembourg unit-linked life assurance policies give access to a world of investment opportunities?

Which means that you can create your own personalised investment plan based on both Traditional and Non-Traditional Assets. From UCITS funds, through alternative investments to Private Equity, Real Estate and Securitisation.

Non-Traditional assets allow you to diversify your portfolio, minimise risk and invest for higher return.

You can choose sectors and assets which interest you the most so that you follow your passions and stay connected with the latest fast-growing companies. All in one life assurance policy from OneLife – flexible, secure, personal!

To find out more about the benefits of Non-Traditional Assets, => check out our video!

Be successful in #Succession, #Relocation and more!

OneLife is committed to bringing insight and information on the unique advantages of life assurance solutions via its series of online campaigns. Our two previous campaigns – #Success in #Succession – and #Success in #Relocation – took a deep dive into the areas of Inheritance Planning and Cross-border portability, two areas where OneLife offers extensive expertise and know-how.

Following the portraits of a number of families at different stages of their lives, living in different countries across Europe and with different wealth planning needs, OneLife examines what the aspirations of the HNWI are, some of the challenges they face in managing and transferring their wealth and how to best ensure that what is here today is still here tomorrow. In a world that is evolving fast, that’s not always easy.

Want to know more about our previous campaigns? Click here for #Success In #Succession => e-book and for #Success In #Relocation => e-book click here !

Stay tuned for our next campaign coming soon!

Source: OneLife & Scorpio Partnership

#Success in #Succession – Part II – So far yet so close

With their two children living in different parts of Europe, Martin and Sophie might not be physically close to them but certainly have their best interests at heart. This is why they decided to take out a mixed death and survival insurance policy which insures all four family members. A contribution of €2 million as an initial premium will cover the entire family and taxes are deferred until partial or total redemption of the policy. In the case of policy termination, the children will receive an equal proportion of the pay-outs in a tax efficient manner in both Madrid and Sweden, their locations of residence.

To find out more about the benefits of a life assurance policy for an international family like the Svensson’s, Read our #Success in #Succession Part II e-Book and check out our Succession Checklist => here!