RSS
Guernsey's well-developed banking sector has created a special reputation for the island as a leading international finance centre. Indeed, banks have played a key role in the development of Guernsey as a global financial hub. The first bank to be established on the Island was the Guernsey Savings Bank founded in 1822.
In the beginning, banking in Guernsey was purely domestic for domestic purposes and largely conducted by the major British clearing banks until mid-1960s. Some of the merchant banks established subsidiary operations in the Island to relay the benefits of offshore banking to their international clients. The first merchant bank in Guernsey was established in 1963.
Presently, 46 licensed banks in the island represent a range of countries with concentrations of banks with head offices in the UK and Switzerland. Other banks are from Australia, Bahrain, Bermuda, Canada, Cyprus, France, Germany, Greece, Hong Kong, Iceland, Netherlands, South Africa, Qatar and the USA. Some of the most highly respected names in international finance have chosen to place their operations in Guernsey. Most of the banks offer foreign currency deposits. The most recent growth in the deposit base of Guernsey banks has been in foreign currency.
The range of services offered by banks in Guernsey is quite diverse. Some provide retail-banking services essential to the local community. Others target the affluent expatriate market, primarily attracting their deposits. There are also banks offering "private banking" services to high net worth individuals who seek a total wealth management solution to their financial needs. Banks also support the other financial services businesses operating in Guernsey providing custody, foreign exchange and other banking services to the investment, fund administration, fiduciary and insurance sectors. There are number of European banks that specialize in providing banking services to the corporate market. It also services the other financial services sectors such as trust, insurance, investment funds on the Island.
Today, specialized banking is a developing feature of the banking sector. UK Building Societies and International Banks have been assisted in setting up operations by having their entities administered by an already established bank. While maintaining a managerial presence, these banks make use of the experienced staff, premises and IT systems of a managing bank while maintaining their own individual identity.
Financial services businesses, corporations, trusts and funds as well as individual savers from around the world have chosen to place their money and confidence in the many banking services that Guernsey has to offer:
Savings - Guernsey banks offer a variety of savings options with competitive offshore rates
Credit services - a growing feature of wealth management by private banks has been bespoke and tax efficient lending for property finance, venture capital and investment
Treasury services - specialized money market and foreign exchange services are provided by a number of highly experienced and financially innovative teams
Custody services - confidential and efficient asset management has been a mainstay of Guernsey's banking reputation
Specialist advice and services - as part of the sector's complementary role to other businesses within Guernsey's financial services industry, banks offer advice in respect of the formation and management of various types of Guernsey companies, mutual funds, captive insurance companies and acquiring listings on the Channel Islands Stock Exchange (CISX).
GOWEALTHY.COM © 2009
For comments: editor@gowealthy.com
