The way in which you hold your wealth and the tax and legal implications of your circumstances are as critical to your long-term financial success as your choice of investments.
The years since the global financial crisis have seen radical changes in the legal and tax environment worldwide. Navigating the enormous number of regulations introduced both nationally and internationally can be challenging, but it is still possible to hold wealth and ensure that it is passed on as efficiently as possible.
Pictet’s wealth planning service can help you assess your situation and review whether your current arrangements are adequate to meet your objectives – for you, and for future generations. Working with our trusted network of external specialists, we can analyse your legal and tax situation, review your options and
How we help
Legal and tax guidance
We can assist in many different situations, depending on your wishes and the complexity of your circumstances – whether it is simply understanding the taxation of your investment portfolio, or acquiring, restructuring or selling a business.
Our expertise also extends to investing in real estate, gifts and inheritances, cross-border succession planning and establishing charitable structures.
Trusts and foundations
Establishing a trust or a foundation can be an effective way of protecting assets and ensuring continuity for future generations.
Pictet can work with fiduciary companies who act as trustees or board members and guide you on how to establish the right structure to ensure that your wishes will be achieved to the greatest extent possible.
This can be an effective way to provide for your future needs, as well as protecting and growing your wealth in the short term.
With a well-designed policy, you can provide for your own pension and also use it as a means to pass your wealth on to successive generations.
Investment companies and investment funds
It may be advantageous to set up a specific holding company to ensure the efficient management of your portfolio and financial undertakings.
Furthermore, the use of an investment fund can have advantages, notably for alternative investments such as private equity and real estate.
Money is no more than a means to an end – the means to achieve your goals in life. Before Pictet begins to discuss investment solutions with you, our first step will be to understand your family objectives.
How we help
A family wealth strategy
When dealing with family wealth, a strategy is needed if it is to be protected and enhanced from generation to generation. Your family’s aims must first be defined, taking into account the sometimes conflicting desires of members with different ages, attitudes and objectives in life. All components of your family wealth need to be integrated – human, intellectual and social, as well as financial.
Preparation for key family events
Preparations must be made for events such as the disposal of the family business or the introduction of new family members into it. A transfer to your children –and to their children – requires long-term planning, with appropriate education to ensure a smooth transition.
We can also assist you with any philanthropic activities you wish to pursue and in setting up charitable foundations, defining their objectives and managing them effectively. Philanthropy can involve family members in managing such activities and help prepare the next generation for taking over their responsibilities.
How we help
Philanthropy Impact Papers
Covering key topics from ‘Starting out in philanthropy’ to ‘Choosing the right vehicle’, the Philanthropy Impact Papers are a series of tailored guides written specifically for philanthropists and their families. Their objective is to help clarify and answer some of the most common questions asked and challenges faced to help make private philanthropy easier and more impactful.
Consolidating wealth in regulated private fund structures that provide economies of scale and strong portfolio protection.
A private fund is a regulated structure aiming to consolidate an individual’s or family’s assets and that invests in one or more discretionary strategies. They are generally aimed at wealthy families, family offices, foundations or trusts willing to consolidate their assets in a single place.
Our private funds services include custody, trading, fund administration and governance.
Pictet provides flexible credit solutions which leverage existing assets to meet your individual financing requirements and achieve your investment goals.
We can provide credit secured against your financial assets, allowing you to take advantage of new opportunities. Loans are extended as current account overdraft facilities or fixed-term advances which usually last for up to one year and are renewable. They are secured against your existing assets, and loans secured on real estate can be granted in certain jurisdictions.
Other uses include providing guarantees for transactions or a third-party account, creating security margins for derivatives trading or other financial instruments, and as collateral for commitments to private equity investments when Pictet is acting as nominee.
Securities-based credit facilities can be granted to cover your short-or medium-term financing requirements, or to take advantage of new investment opportunities without having to sell existing assets. They can be used to diversify your current portfolio by investing in other asset types, and have the potential to enhance the yield from your portfolio through leverage.
They are available only for existing clients for whom we provide management of their investment portfolio or custody of their pledged assets. The maximum credit amount available is defined by a loan-to-value ratio which is set by Pictet as a function of the type, quality and diversification of the underlying assets in your portfolio as well as market conditions.
With a credit facility, you will remain invested in your portfolio for continued income and capital growth, and will still be able to manage it as long as the leverage is compliant with the loan-to-value ratio.