HEDGE FUNDS HEAD FOR MALTA TO ESCAPE REGULATION
Some of London’s biggest hedge fund managers are shifting their operations to Malta in response to both the rising costs of business and the growing regulatory burden in the UK. The Mediterranean island is emerging alongside traditional rivals to London, such as Swiss towns Geneva and Zug, as another European location for hedge fund managers keen to maintain flexible operating arrangements – and avoid heavy tax bills.
TRUCKMAKERS IN BRUSSELS ANTITRUST PROBE
Europe’s antitrust officials are investigating allegations that some of the world’s largest truckmakers have fixed prices and delivery times for more than a decade, in a probe triggered by German truck group MAN. In January, officials raided truckmakers’ offices all over the continent.
FOXCONN TO MOVE CHINA JOBS INLAND
Foxconn Technology will transform its south China manufacturing hub into an engineering base and move 200,000 jobs to cheaper inland provinces in a further sign that the region’s days as a low-end production centre are numbered. The world’s largest contract electronics manufacturer employs 1m people in China.
BRAZIL CLAIMS IT IS FIFTH LARGEST ECONOMY IN WORLD
Brazil has overtaken Britain and France to become the fifth largest economy in the world after reporting 7.5 per cent economic growth in 2010 – the fastest rate since 1986, finance minister Guido Mantega said. Latin America’s biggest economy grew last year on the back of consumer credit, investment and a government stimulus package but was showing signs of moderating.
ODDBINS CALLS IN FIREFIGHTERS AS FEARS FOR SURVIVAL MOUNT
The future of one of the last remaining independent off-licence chains was in the balance after it emerged that restructuring specialists have been called into Oddbins. The company said that it had called in advisers from Spectrum Corporate Finance to consider strategic options in light of a “challenging retail environment”.
TWITTER FOUNDER SAYS FLOTATION NOT EVEN BEING DISCUSSED
Twitter has dismissed speculation that a fund run by JP Morgan was seeking to buy a significant share, saying that the microblogging service would not seek additional funding as it was already making money. Biz Stone, Twitter’s co-founder, reinforced the company’s public stance that it has no intention of launching a stock market flotation soon.
The Daily Telegraph
ENDING TAX RELIEF WILL HURT RETAIL
One retailer with big online sales said that clamping down on the so-called low-value consignment relief (LVCR) would be “an attack on business innovation.” Tax experts also warned that changes to the relief, which the Government has hinted may be included in the Budget, would hit small businesses hardest and cost more to implement than it could raise in extra taxes.
FINANCIAL ADVISER FEES RULING PROMPTS LOW COST FUND LAUNCH
Schroders has become the latest asset management company to launch a low fee fund. Following JP Morgan’s decision to cut fees on one of its UK equity funds, rival Schroders will launch a low cost fund. The Schroders Core UK Equity fund will be launched on March 18, charging 40 basis points a year, with no entry or exit fees.
THE WALL STREET JOURNAL
HCA INVESTOR WINDFALL
Bain Capital,Kohlberg Kravis Roberts & Co., Bank of America. and the brother of former Senate Majority Leader William Frist are each in line to make nearly $3bn from $1.2bn investments in the 2006 leveraged buyout of hospital chain HCA Holdings. The gain—about 250 per cent over five years that were trying for the economy and health-care companies—would amount to one of the largest ever from a private-equity deal.
BRAZILIAN FIRM IN FRAUD PROBE
Brazilian authorities are investigating a possible fraud at a São Paulo financing company partly owned by a Goldman Sachs vice president. The Goldman executive, Cristiano Camargo, 31 years old, now owns a stake of less than 5 per cent in Porto Forte, according to his lawyer.