Bermuda conjures images of multi million dollar homes, pink sandy beaches, international finance and the sartorial independence of its businessmen (love those shorts!), but what does this unique jurisdiction offer the career-minded private client professional?
Once known as the ‘Gibraltar of the West ‘ the island enjoys one of the highest per capita incomes in the world having successfully exploited its location by providing financial services to international firms. Today the finance industry is the largest employer in the affluent Bermudian economy and Bermuda is recognised as a leading global offshore centre with a reputation for high quality business and excellent professional services. With its low direct taxation on personal and corporate income, Bermuda is the offshore domicile of many foreign companies. It is a respected exporter of financial services, primarily insurance, reinsurance, investment funds, trust and corporate services.
A number of leading international firms are based in Bermuda and the territory is one of the world’s largest reinsurance centres boasting over 1,500 companies in this sector alone. As a result, experienced and qualified insurance professionals, actuaries and accountants are always in demand for this key sector of the island’s business industry.
With regard to private client services, trust management has been a significant activity for Bermuda for more than fifty years and, notably, in excess of 60% of AP Executive’s Bermuda placements were made within the island’s trust industry. In the early days of trusts the main sources of business were based in the UK, the USA and Canada, but more recently other parts of the world have become increasingly important, as an understanding of the trust concept has spread more widely. Hosting a significant number of major international banks, independent trust companies and law firms, opportunities in this space in Bermuda are widely available to the qualified practitioner.
A leading Bermuda-based trust professional observes: "The Bermuda job market, although competitive, is always open to seasoned private client professionals. The industry is very mature and is one of the leading offshore jurisdictions. There is a wealth of knowledge and expertise on the island and professionals from other jurisdictions are welcomed. As Bermuda continues to evolve and keep pace with the varying changes around the globe, the different perspectives they bring with them are crucial. The economic downturn has created new areas of interest and opportunity as clients look for a high level of security and accountability for their assets requiring more due diligence on the part of the professionals responsible for the preservation of wealth".
With 2009 proving economically challenging for many jurisdictions around the world, in 2010 we are beginning to see some global recovery, a trend replicated in Bermuda with opportunities becoming more readily available for offshore financial and legal professionals. We are observing a growth in demand once again for qualified accountants, lawyers, actuaries, investment and trust professionals.
So with Bermuda proving to be an attractive offshore centre, what can expatriates expect?
A senior expatriate private client lawyer resident in Bermuda put it this way: “Bermuda offers an excellent balance between a more relaxed lifestyle and high quality legal work for significant clients. Time that would otherwise be spent commuting in a large city can be better spent golfing or sailing. Prior experience in a top notch offshore jurisdiction like Bermuda is a great platform for practicing in other jurisdictions around the world.’’
How easy is it to gain access into the island? The unfortunate answer is ‘not particularly’. It can be a long and drawn out process. There are strict entry requirements for Bermuda and a work permit has to be acquired before entry to the island is granted for any potential employee and their spouse/partner and/or family members. It can be particularly problematic for large families with numerous children. Preparation and patience in addition to working with an experienced recruitment advisor are key.
Before a work permit is granted, and similarly to other jurisdictions in the region, an organisation will have to prove to the Bermudian Immigration Department that it has advertised and interviewed Bermudians for the role in question. By doing this they are demonstrating that there is no Bermudian residing in the island who qualifies for that role at that chosen time.
A statement taken from the Government website states the following “This Government has worked hard to strike the right balance between the understandable desire of business to operate with a minimum of regulatory control and the legitimate and proper aspirations of Bermudians to participate fully in the economy of their island home”.
“Term limits on work permits mean that as a general rule work permit holders will be limited to a maximum term of six years unless they are exempt. These exemptions are possible where companies can demonstrate that they are good corporate citizens.’’
Bermuda is a destination of choice, and the work/life balance offsets the high cost of living, which is usually compensated with high salaries and a favourable tax rate of around 5%. As the world emerges from recession and firms look to ramp up more international experienced hires once again, Bermuda is an attractive option to the qualified professional.
Claire Hopkinson,
Claire Hopkinson is a Recruitment Consultant for AP Executive, a specialist global private wealth management consultancy.
For further information email claire.hopkinson@ap-executive.com
Article first published in Private Client Practitioner magazine, June 2010