HSBC's Alternative Fund Services has released a German tax compliant version of its core hedge fund accounting system, Advent Geneva.
The system now includes a fully integrated tax transparency capability for hedge funds and funds of hedge funds distributed by domestic or international fund promoters to German domiciled investors.
'The recent changes in the regulatory environment paved the way for hedge funds in Germany,' said Claude Noesen, Client Relationship Manager, HSBC Luxembourg. 'We expect to see significant growth in the on and offshore hedge fund sector as both domestic and international fund managers and investors look to leverage the new regulatory environment and diversify into other countries in Europe.'
Under the leadership of John Crager, Global Head of Tax, and his New York based team, HSBC have configured the latest release of Geneva to fully meet the German tax reporting requirements in an integrated and easy to understand format with functionality including the required year-end information as well as equity gain (Aktiengewinn) and interim profit (Zwishengewinn) at each valuation date. These services will be available from HSBC's Alternative Fund Services' offices globally.
'With hedge funds and funds of hedge funds around the world predicted to take advantage of the new opportunities, we believe that Luxembourg - through its long history of servicing Continental Europe generally and its alignment to the German market in particular - will be at the forefront of developments through its additional ability to service Luxembourg regulated vehicles.' notes Germain Birgen, Head of HSBC Securities Services, Luxembourg.
This is why HSBC Securities Services (Luxembourg) S.A has built up a dedicated German speaking team fully conversant with the new legislation and is able to deliver a rapid set-up and administration service to both established and new clients.
Additionally, HSBC has been working closely together with its German Bank, HSBC Trinkaus & Burkhardt and their KAG, INKA (Internationale Kapitalanlagegesellschaft), both out of Duesseldorf, to develop a solution that allows the group to act as KAG and service German domestic hedge fund and fund of hedge fund structures from a custody and administration point of view. This has now been approved by the German regulator BaFin.
HSBC's Alternative Fund Services provides fund administration for hedge funds, fund of funds, multi manager, private equity funds, emerging markets funds and real estate funds from 12 key financial locations globally. As at 30 November 2005, it has over USD 215.9 billion in assets under administration and services 2,285 funds. www.afsfunds.com