Efforts and Reforms

“Futuro” project

The «Futuro» project started with the order to create a vision for the financial centre Liechtenstein. As a basis for this the actual situation was analysed and the resulting need for action was derived. The vision and the implementation initiatives which are necessary for its implementation are also of significance for the whole economy of the country.
Numerous of the recommendations made here moreover support themselves on extensive preliminary work of various working groups, thus for example in the field of revision of foundation law or tax reform.

Vision for the financial centre

The vision sets itself the following aims:
» The use of traditional strengths of the country
» The development of a high drive thanks to the flexibility of the small state
» The creation of sustainable growth thanks to progress in productivity
» Increased internationalisation by retaining the character of the country
» The gaining of high recognition with customers and community of states
» The integration of the strong financial centre into a highly diversified whole economy

The core piece of the financial centre according to this vision is the foundation system in Liechtenstein supplemented by a growing trust system. Family foundations are being increasingly perceived as independent assets and are thus a popular tool for the successor planning worldwide. The trustee in Liechtenstein does not just act as mediator and manager of a structure. He is rather seen as an important personal consultant thanks to his internationally recognised competence, to whom a large majority of the benefactors maintain direct contacts.
Through the structure of the charitable foundation Liechtenstein is aiming at the development to a philanthropy cluster. A fiscal equal treatment of charitable foundations at home and overseas is aimed at. It requires a supervision which operates independently and is recognised worldwide, a central point of contact for international donators and a combination of legal expertise and investment consultancy.
In order to strengthen the trust location harmonisation with structures which are offered in the Anglo-Saxon region is deliberately aimed at. The differentiation of the location Liechtenstein is carried out on the other hand through the geopolitical location, the language and through at the most already existing relations to the financial centre.

Private Banking uses its close connections to the trust system. The booking of assets in Liechtenstein is becoming increasingly more attractive thanks to the excellent reputation of the jurisdiction in Liechtenstein when judging disputes under assets law. Thanks to centralised services (e.g. product development) the location profits from the growth of the banks in Liechtenstein overseas.

The trust system and Private Banking are supplemented by other products of Private Wealth Management. In the field of insurance solutions and with private pension funds as elements of Wealth Planning Liechtenstein is aiming at achieving a position among the leading European finance centres. This will be achieved through great flexibility, attractive fiscal treatment, a high degree of privacy and an active marketing of the location overseas, including direct address of attractive intermediaries. The abolition of the domestic depositary bank requirement is being examined in order to promote the growth in the field of investment funds.

An opportunistic supplement is carried out in the field of corporate customers, for example with captive solutions, which will gain even more in significance thanks to the improved reputation of the financial centre and active marketing in Europe or with carriers with their domicile in Liechtenstein for pension fund solutions in the European region. The financial centre is not aiming at being the leader in these fields, however it profits from the interfaces to Private Wealth Management.

Most important implementation initiatives

The envisaged initiatives for realising the vision can be classified into five areas:
Legal environment – creation of unique solutions: These include improved protection of privacy and property, at the same time however also quick procedural improvements in the mutual judicial assistance, a comprehensive strategy for international negotiations, the reform of the family foundation, the set-up of a European philanthropy cluster, the new positioning of the trust and the ensuring of an attractive tax system.

Application of law – compliance with highest international standards:
This is made possible through a clear understanding of the role of the FMA, an improvement in the supervision in the trustee field, a reinforcement of the jurisdiction including set-up of a specialised court chamber for questions relating to foundation and trust law, the establishment of Liechtenstein as a location for an arbitration court and the reinforcement of the service orientation in the management.

Regulation stipulation process – systematic exploitation of opportunities:
This includes on the one hand the reinforcement of the strategic capability of the government to take action. On the other hand the exploitation of opportunities includes a structured process, which is distinguished by clear responsibilities and ensures that by observing international trends the need to stipulate new regulations is recognised at an early stage and corresponding leeway is used for a company-friendly structure and quick implementation and comprehensive quality control are ensured.

Talent – set-up of a first-class talent pool:
This includes the positioning as an international research and teaching location in Private Wealth Management, an improvement of the importance of English, ensuring the access to international top talent and an improvement in the availability of the financial centre.
International marketing – professional communication of benefits of the location:
The most important elements here are the set-up of a first-class location marketing, which communicates the achievements of the country and the financial centre externally and includes the direct address of attractive intermediaries as well as the planning of an exclusive conference centre.