MASECO is pleased to announce the addition of several new members to the team.
Kristopher Heck (Columbia MBA ‘07) has joined the firm as a partner to head the new MASECO Institutional business. Kristopher joins MASECO from BlackRock’s iShares Exchange Traded Fund (ETF) business, where he worked in business development with UK financial advisors since 2007 and before that in the US since 2000. His breadth of experience with institutional investments and, as an American expatriate, first-hand knowledge of the regulatory and tax challenges makes him the ideal person to lead this business.
Katharine Massey has joined the firm as a partner and as Head of Operations. Kathy joins MASECO from Citigroup Private Bank where she was responsible for managing the operation of the Smith Barney platform in London since 2007. Prior to moving to the UK, she was the Assistant Operations Manager at the Florham Park, NJ branch of Smith Barney. An experienced business manager and American national, Kathy will be responsible for managing the business operations to ensure we continue to provide a first class service to our clients.
We also welcome Mark and Ashley Scher as a Senior Investment Advisor and Investment Advisor respectively. A husband and wife team who are both US nationals, Mark and Ashley have 25 years of combined experience in US financial planning and financial advice and are also both qualified to provide advice in the UK. Their arrival allows us to continue to meet the continually growing demand for our services.
Maseco sets up division to meet demand of Americans living abroad
Due to our recent rapid growth and the growth in demand for US tax efficient and cost effective Investment Management, MASECO has launched a new division to provide services to Financial Intermediaries with US clients and prospects. As the complexity of tax and cost effectively managing portfolios for US nationals with cross border financial activities increases, MASECO is uniquely positioned to work with other professionals in providing investment management services. Our newly formed MASECO Institutional division provides third party financial advisors access to the specialist knowledge, products and services MASECO has developed to help US nationals with their cross-border financial activities. Non-MASECO Financial Advisors will now be able to partner with MASECO and provide sophisticated tax efficient and cost effective investment solutions to their US clients. This will also significantly increase the availability of our products and services within the US expatriate market in the UK and Europe. MASECO Institutional provides a complete solution to the professional investment intermediary community (IFAs, wealth managers, private banks, consultants, accountants, etc.) that is suitable for UK and European resident US nationals. The financial advisor is able to continue to manage the client relationship and remains the trusted adviser in the eyes of the client while MASECO provides the financial solution including arranging for custody, execution, tax reporting, tax efficient investing and training to the financial advisor.
The US Government continues to make it more complex
It is no revelation that recent spending by the US Federal Government has widened the budget deficit considerably. It should also come as no surprise that the subsequent drive to improve the US fiscal position has led Congress to increase existing tax revenue streams and explore areas where the IRS feels there are additional revenues.
Rightly or wrongly, foreign banks and asset managers are once again under the microscope. While there are no doubt many dubious tax shelters that should be targeted, there are 7 million US citizens who reside outside the US(1) and simply want legitimate banking and investment services. The options available to US expats has become scarcer due to the recent Hiring Incentives to Restore Employment Act of 2010 (HIRE) signed into law in mid-March.
Although the main purpose of HIRE is to stimulate jobs in the US economy, an addendum to the main body of the new law will greatly impact foreign financial institutions (FFIs). FFIs will be subject to greater disclosure of their US account holders to the IRS and need to significantly overhaul their technology systems to comply with new reporting requirements. In addition, account holder reporting obligations (and penalties for non-compliance) make the use of a non-compliant FFI account a dicey proposition.
For a more thorough discussion of the new rules, how it affects US expatriates living abroad, the US expatriate market for financial services, and MASECO’s thoughts please read: www.international-adviser.com/article/obama-signs-bill-with-hidden-provisions-affecting-nonus-financial-institutions.
The NY Times coverage of the Act focuses on the implications for tax havens such as the Caribbean and Lichtenstein: www.nytimes.com/2010/03/28/ business/28gret.html
T: +44 (0)20 7043 0455
- Source: Reaching Out to Americans Abroad, IRS.gov, March 31st 2010
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