Labuan IBFC is now at the forefront of international wealth planning, providing investors the flexibility to choose the ideal wealth creation and wealth preservation structure, either conventional or Islamic, that best suits their needs. This is in line with the interest in wealth management solutions which has grown in tandem with Asia’s growing economy.
High-net-worth individuals and the affluent population will find a comprehensive stable of private wealth management vehicles on offer in Labuan IBFC, such as trusts and foundations. These can be structured for a wide array of wealth management needs and are especially suitable for family offices and wealth managers in facilitating dynamic wealth transfer, dynastic planning and inheritance management.
In wealth asset planning, consideration has to be given to the laws of the trust / foundation jurisdiction together with other jurisdictions on the location of the settlors, founders, beneficiaries and endowed properties.
The key considerations for choosing Labuan IBFC as the jurisdiction of choice for wealth management include the following:
- Legal foundation - comprehensive legal system, ie sufficiency of law to render legal protection, clarity of Shariah rulings and the implementation of a well-regulated framework
- Stability - the presence of a strong government in fostering political, economic and financial stability; and
- Ease of doing business - cost efficient and easy procedures in setting up entities, with the assistance professional intermediaries and authorities.