July-August 2010 by The British Chamber of Commerce

J u l y /A ug ust 2 0 1 0 • V o l 25 • No 7 • HKD30

In This Issue

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A Tax Issue

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Synthia: Replicating Life

Captains of Industry By Rory Mitchell

PAGE Sports Safety

20 May, 2010, a team of scientists

organism. Venter published the genomes of

The first major breakthrough towards this

from the J. Craig Venter Institute (JCVI)

two organisms that year, including that of a

goal came in 2008, when the JCVI team

announced that they had created the first

bacterium, Mycoplasma genitalium, which is

announced that they had successfully

self-replicating synthetic life-form, named

thought to have the smallest genome of all

recreated the genome of M. genitalium

“ S y n t h i a ” . T h i s re m a r k a b l e re s u l t , t h e

existent life forms. Since then, much of his

in the lab, using the basic building blocks

culmination of 15 years' work at a cost

research has been geared towards discovering

of DNA. The next step was to come up

of almost £30 million, has been hailed by

the smallest possible genome that can function

with a method of transferring the synthetic

some as a landmark step towards a full

as an “operating system” for a living organism,

genome to a new cell, thereby creating a

understanding of the mysteries of life,

in order to better understand the underlying

new organism that could successfully self-

and by others as a dangerous example

biology that gives rise to life itself.

replicate – one of the essential properties of a living organism.

of scientists “playing god”. The truth, as

tends to be the case, is far less sensational

In the intervening years, Venter and his team

but no less exciting: Dr Venter and his

have developed a number of new scientific

Two years on, Venter and his team have

team have designed a process for creating

t e c h n i q u e s i n t h e i r q u e s t t o c re a t e a

ﬁnally achieved their goal. Synthia is a new,

new micro-organisms that could have

synthetic organism, beginning with a method

synthetic form of bacteria, based on the

a wide range of applications, impacting

for writing genetic code. This code, DNA,

genetic code of a fast-growing species

areas as diverse as energy security, food

is essentially made up of four chemicals,

named Mycoplasma mycoides. The team

provision, environmental protection and

referred to by the letters A, C, G and T.

built up a synthetic code modelled on

human health.

Scientists had already learned how to analyse

the M. mycoides genome, deleting or

the DNA of a living creature and store it as

changing a number of genes and adding

code on a computer; Venter's goal was to

several “watermark sequences” in order to

invert this process, designing a new genetic

distinguish the synthetic bacterium from

code on a computer and then transplanting

its natural counterpart. The new genome

this code into a cellular organism to create a

was assembled in a yeast cell, and then

new, synthetic form of life.

transplanted into the cell of another strain

PAGE Having a Ball

A long journey Dr Venter ﬁrst came to public attention in 1995, when he became the ﬁrst scientist to decode

Plus • Recruitment • News • Events

and sequence the entire genome of a living

(Continued on page 2)

www.britcham.com

COVER STORY (Continued from cover)

of bacteria, which had had its own genetic code disabled. The end result is a new selfreplicating cell which follows the instructions provided by the team's DNA code – in other words, a new, synthetic form of life.

Ethical concerns Dr Venter is no stranger to controversy. In 2001, his commercial venture, Celera Genomics, beat a publicly funded team in a race to decode the human genome; concerns were raised over the involvement of a for-profit group in such fundamental

Just the beginning

research, particularly due to Venter's refusal to allow open access to his data. This

It is worth noting the limitations of this piece of research. Contrary to many reports, Venter

new research into synthetic organisms has seemingly brought even more cause for

and his team have not created “artificial life”, nor were they intending to. Essentially, all

concern in some quarters. Some are concerned about the prospect of scientists “playing

they have done is to recreate the DNA of a very basic existing life-form using laboratory

god”, creating life forms that would never have existed naturally; others worry that the

chemicals, modify it slightly, and then transplant this genetic code into an existing cell.

technology could be used for evil rather than for good – creating new, more powerful

While this is, in itself, a fairly simple procedure, albeit one that has taken years of research

types of biological weapons, for example. For his part, Venter has reiterated that the

to perfect, Venter has described it as a “proof of concept” - evidence that his team's

JCVI has worked closely with bioethicists, politicians and other concerned groups to

technique can be used to design and manufacture synthetic organisms according to certain

discuss any ethical concerns over the research, and to advise on suitable regulation/

speciﬁcations. As such, this could be the ﬁrst step in an exciting new avenue for synthetic

legislation to safeguard against any risks.

biology, one which could bring signiﬁcant beneﬁts for humanity. Ultimately, Venter believes that this recent breakthrough has profound implications, both One possible application that Venter is already working on, in partnership with Exxon Mobil,

scientiﬁcally and philosophically, for the way we think about life and how it works. In an

is the creation of new strands of algae which could be used to capture carbon dioxide and

interview with Science, conducted as his team's research was published, he remarked, “It's

make new hydrocarbons. These hydrocarbons would then be processed in reﬁneries to

pretty stunning that when you replace the DNA software in a cell, the cell instantly starts

make fuel. No known types of algae are capable of doing this; the team will either modify

reading that new software, starts making a whole different set of proteins, and within a short

existing types, or develop a new algae from scratch. Venter believes this could be a possible

while all the characteristics of the ﬁrst species disappear and a new species emerges from

solution to our current reliance on oil.

this software. Life is basically the result of an information process, a software process. Our genetic code is our software.”

Another project currently underway will see the techniques the JCVI team have developed used to aid in the manufacturing of the annual ﬂu vaccine, a measure which, it is thought,

Scientists may not yet have uncovered the great mystery of how life on Earth ﬁrst originated.

could speed up the process by up to 99%. According to Venter, the tools and techniques

However, our increasing knowledge about how the biological processes of life work, and

his team have developed could also be used for making chemicals and food sources, or for

how they can be manipulated to get the results that we want, could usher in a new age of

cleaning water – indeed, as he said when announcing his research in the journal Science, “We

scientiﬁc, economic and social advancement. Synthia may just be a simple bacterium, but

are entering an era limited only by our imagination.”

her inﬂuence is likely to spread far and wide.

The assembly of a synthetic M. mycoides genome in yeast

www.brit cha m.c o m

The Magazine of the British Chamber of Commerce in Hong Kong

Chief Editor Rory Mitchell

Assistant Editor Ian Cruz

Design Bill Mo Winnie Li Ken Ng Man Lo

Advertising Contact Charles Zimmerman

Project Management Vincent Foe

Jointly Published by Speedflex Medianet Ltd and The British Chamber of Commerce in Hong Kong 1/F, Hua Qin International Building 340 Queen’s Road Central, Hong Kong Tel: 2542 2780 Fax: 2542 3733 Email: info@speedflex.com.hk Editorial: Ian@speedflex.com.hk Advertising: charles@speedflex.com.hk

British Chamber of Commerce Secretariat

CHAIRMAN’S MESSAGE This is my first letter to you as the new Chairman of the British Chamber in Hong Kong. I’m excited about this position and for the year ahead. It has been an interesting first few weeks, my first function being the British Chamber of Commerce Annual Ball. I would like to thank all those who attended, it was an extraordinary event built around the Jungle Rumble Theme and featured yours truly presenting for the first time dressed in a Tiger Suit! More importantly, everyone had a fantastic evening and we managed to raise over HK$530,000 for the End Child Sexual Abuse Foundation. I would like to thank the BCC staff, Standard Chartered Bank and all of our sponsors for organising such a wonderful event for the British Chamber community. Over the last few months as part of our Captains of Industry series we have had some excellent speakers including Xavier Rolet, CEO of the London Stock Exchange, Mike Smith, CEO of ANZ Bank, Sir David Li, Chairman and CEO of Bank of East Asia and Michael Geoghegan, CEO of HSBC. The quality of the presentations and discussions at these events has been first class. All presenters were kind enough to share their thoughts and insights on both global issues, the Asian region and of course the opportunities in China. I was particularly interested in Sir David’s thoughts regarding whether Shanghai or Hong Kong will be China’s financial centre in the future. His view is clear: if Hong Kong wants to be the financial centre it will not be given it, it has to take it. This reminded me of the start of the European Union when it appeared Frankfurt was being lined up as the financial centre for Europe. Of course London steamed ahead, secured the volumes and became the centre for financial trade – exactly what Hong Kong now needs to do. The first signs are promising. On the economy, as I write this we are certainly in a period of uncertainty with investors in Europe questioning the stability of the Euro, the markets around the world questioning whether we are entering a “double dip recession” and governments starting to tighten their spending. We are indeed in a delicate balance between recovery and decline. I for one believe the economy will return to a stronger basis but it will still take some time to recover. As with rowing, this will happen one stroke at a time. Hong Kong as always will remain resilient and will remain well positioned to capitalise on the economy as confidence increases. This brings me to my next point: at BT, we have been encouraged by the recent growth in business in the region, with over 80% of our multi-national customers investing in China and India. This in turn is a major benefit for Hong Kong as more and more decision makers move to the region and expand or create their regional headquarters.

Executive Director CJA Hammerbeck CB, CBE

General Manager Cynthia Wang

Marketing and Communications Manager Hilary Thomas

Special Events Manager Becky Roberts

Business Development Manager

However, this is where the challenge starts; I am concerned to see that the English Schools Foundation now have over 3000 children on the waiting list. All other quality international schools also have long waiting lists. While the option remains for parents to send their children to local schools, as Lisa Bowman argues in this issue of Britain in Hong Kong, the fact remains that Hong Kong is an international business city and must ensure its school system can cater for demand. Investment will be impacted unless the government clearly develops a strategy to directly support the rapid expansion of quality education in Hong Kong. This topic will be one of the focus areas of the Chamber going forward. It is welcome that Hong Kong has now reached agreement on the next stage on constitutional reform. While not everyone will be happy, perhaps this will allow the community to move ahead. There are challenges that must be confronted such as the poverty wealth gap and more clearly deﬁning the new business model for Hong Kong.

Dovenia Chow

Membership Executive Lucy Jenkins

Before I sign off, I want to personally thank James Riley for his excellent leadership and direction of the Chamber, and Christopher Hammerbeck and his dedicated staff for making the Chamber the leading organisation of its kind in Hong Kong.

Accountant Michelle Cheung

Executive Assistant

I look forward to hearing your thoughts on how we are doing as a Chamber and any ideas on how we could do even better. Enjoy your summer holidays, and we’ll talk more in September.

Jessie Yip

Secretary Yammie Yuen

Ofﬁce Assistant Sam Chan

Room 1201, Emperor Group Centre, 288 Hennessy Road, Wanchai Tel: 2824 2211 Fax: 2824 1333 Website: www.britcham.com © All published material is copyright protected. Permission in writing from the Publishers must be obtained for the reproduction of the contents, whole or in part. The opinions expressed in this publication are not necessarily the opinions of the Publishers. The Publishers assume no responsibility for investment or legal advice contained herein.

Kevin Taylor

DOUBLE TAXES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 FINANCIAL REGULATION . . . . . . . . . . . . . . . . . . . . . . 7 DAVID LI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 UK PROPERTY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 EFFECTIVE MANAGEMENT . . . . . . . . . . . . . . . . . . . . 10 RECRUITMENY TRENDS . . . . . . . . . . . . . . . . . . . . . . 11 MOBILE MARKETING . . . . . . . . . . . . . . . . . . . . . . . . 12 MICHAEL GEOGHAGAN . . . . . . . . . . . . . . . . . . . . . . 14 RYDER DIAMONDS . . . . . . . . . . . . . . . . . . . . . . . . . . 15

ANNUAL BALL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . LOCAL SCHOOLING . . . . . . . . . . . . . . . . . . . . . . . . . BUILDING TECHNOLOGIES . . . . . . . . . . . . . . . . . . . SPORTS SAFETY . . . . . . . . . . . . . . . . . . . . . . . . . . . . NEWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . NEW APPOINTMENTS . . . . . . . . . . . . . . . . . . . . . . . . SHAKEN NOT STIRRED . . . . . . . . . . . . . . . . . . . . . . . NEW MEMBERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

16 20 21 22 27 28 29 30

ANNUAL GENERAL MEETING Christopher Hammerbeck presents a silver salver to outgoing Chairman James Riley

AGM Results The

British Chamber of Commerce is delighted to announce the election of its new

General Committee at last month’s Annual General Meeting at the Hong Kong Club. The

Nicholas Loup Timothy J. Peirson-Smith

Chief Executive, Grosvenor Asia Paciﬁc Managing Director, Executive Counsel Limited and Executive Counsel (Macao)

Christopher Pratt

Chairman, Swire Pacific Ltd/ John Swire & Sons (HK) Ltd./ Cathay Pacific Airways Ltd/ Swire Pacific Offshore Ltd./ Hong Kong Aircraft Engineering Co. Ltd./ Swire Properties Ltd./Swire Beverages Ltd.

Nicholas Sallnow-Smith Jeremy Sheldon

Chairman, The Link Management Limited Asia Paciﬁc Managing Director of the Markets Business, Jones Lang LaSalle

Kevin Taylor Andrew Weir

Managing Director, Asia Paciﬁc, BT Partner, KPMG

assembled members of the British Chamber unanimously elected the committee members who will be responsible for providing leadership and direction to the Chamber for the next twelve months. The British Chamber is of course very sad to lose James Riley as chair who stepped down after two and a half years at the helm. James’s report of the past twelve months reﬂected the resilience of the Chamber in particularly tough economic times under his leadership. James was presented with a silver salver as an expression of the Chamber’s gratitude to mark his Chairmanship. The newly elected General Committee members are:

Duncan Abate Deborah Annells Paul Brough David Dodwell Robert Gazzi Mark Greenberg Anne Kerr

Partner, Mayer Brown JSM Managing Director, Azure Group Partner, KPMG CEO, Strategic Access Ltd. Partner, PricewaterhouseCoopers Group Strategy Director, Jardine Matheson Director, Environment Division, Mott MacDonald Hong Kong Ltd

The General Committee has elected Kevin Taylor to be the new Chairman of the British Chamber of Commerce. Kevin has resided in Hong Kong for nearly 16 years and is Managing Director in Asia Paciﬁc for British Telecom. Kevin is currently co-Deputy Chairman of the British Chamber and also Chairman of the Chamber’s IT committee. Kevin brings to the Chamber a wealth of experience in both communications and technology and has been a committed and highly valued member of the Chamber for many years.

Take your business to new heights

Baker Tilly Hong Kong Business Angel Programme The Baker Tilly Hong Kong Business Angel Programme run by the British Chamber of Commerce brings together entrepreneurs and investors to create exciting new partnerships. This programme gives entrepreneurs with new business ventures, or SMEs looking for funding to expand, the opportunity to present their business plan to potential investors (known as Angels). If you’re an entrepreneur or SME looking for investment, and would like to find out more about this programme, log onto www.britcham.com Shortlisted applicants will be given advice and assistance by a sub-committee of experienced professionals Applicants do not need to be members of the British Chamber of Commerce, anyone can apply. Applicants should be seeking to raise between USD200,000 to USD2,000,000.

July/August 2010 • Vol 25 • No 7

TAX

Hong Kong-UK Double Tax agreement:

What does it mean to you? By Lara Mardell, AzureTax

Blink

and you might have missed it, but on 21 June 2010 an agreement was signed

Spouses of Hong Kong employees

which is likely to be big news to many UK expatriates living in Hong Kong. We ﬁnally have a

The DTA is likely also to help spouses of such working people. If the spouse is UK resident under

double tax agreement (DTA) with the UK.

the UK rules, and Hong Kong resident under the Hong Kong rules, the same DTA “tie-breaker” provisions would apply, so the spouse is likely to be deemed to be Hong Kong resident.

So what does it mean? The DTA, which the British Chamber had been pursuing for some years, provides some key beneﬁts to people resident in Hong Kong, in respect of certain

However, the DTA will not help all spouses. If the spouse has homes in the UK and Hong

types of UK income – in particular, interest on income paid from the UK will no longer be

Kong, and their centre of vital interests is the UK (this might happen for example, if their

subject to 20% withholding tax, it will be nil. The DTA also provides that the same income

children are there), then the spouse would be UK resident under the DTA. If the spouse

will not be taxed twice. The biggest impact, however, is likely to be on UK tax residence and

does not qualify for Hong Kong residence under Hong Kong rules (a risk if they are here for

the day-count rules.

under 180 days) then the spouse can’t use the DTA at all. In this case, they may choose to avoid being UK tax resident by ensuring that they and their working partner do not breach

Day-counting: those employed in Hong Kong

the 90 day rule.

Prior to the DTA, people employed under full time Hong Kong employment contracts (or self employed full time) for four years or more would need to ensure they did not average more

Those not working in Hong Kong - a catch 22?

than 90 days in the UK in any tax year, to avoid becoming UK tax resident. Not any more.

A person who is neither working here nor married to someone working here will need to

From next April, when the DTA comes into force, people working here who are Hong Kong

consider whether, if they are UK tax resident under UK rules and also Hong Kong resident

tax resident and also UK tax resident according to UK tax rules will be able to look to the

under Hong Kong rules, the DTA would deem them to be UK resident or Hong Kong

DTA, whose “tie-breaker” provisions will decide where they are resident for tax.

resident. In many cases the person will have a home in both places and their centre of vital interests will be the UK, so the DTA would deem them to be UK resident.

The DTA says that if this person has a “permanent home available” in one country and not the other, they will be deemed to be tax resident where the permanent home is. This

As this person cannot rely on the DTA for help, they might instead attempt to avoid UK

includes a rented home.

residence. To do so they need to comply with the UK’s guidance in its publication HMRC6, which provides two ways to cease to be UK resident: working abroad full-time, and/or

So if the person owns or rents a ﬂat in Hong Kong, and has no home in the UK, they will

leaving the UK permanently or indeﬁnitely.

be resident in Hong Kong. If they also have a home in the UK, they have a permanent home in both places. If they rent out the home in the UK, it could be argued that their

One solution – while ensuring they spend enough time in Hong Kong to qualify for Hong

“permanent home” is in Hong Kong, but it is safer to consider their permanent home to

Kong residence – is for to set up a Hong Kong company, and work for it. This should allow

be in both places.

the person to claim the full time employment abroad exemption, provided they also do not breach the day count rules. But even if they fail to break UK residence (for example, through

When a person has a permanent home in both jurisdictions, the DTA then looks to where

spending too much time in the UK), the employment here would be a factor in support of

the person’s “centre of vital interests” is – i.e. where their personal and economic relations

their centre of vital interests being in Hong Kong, so under the DTA they may still be Hong

are closer. As the person works in Hong Kong, it is likely that their centre of vital interests

Kong resident.

will be here, although if their family is still based in the UK he may be deemed to be resident there, or the centre of vital interests may not be clear.

To sum up … In most cases the DTA means that UK people working in Hong Kong, and their spouses, no

When it is not clear where the centre of vital interests is, the DTA looks at the place of “habitual abode”. Broadly, this means where the person generally, over the years, spends significantly more time. If this is Hong Kong, then they should be resident in Hong Kong.

www.brit cha m.c o m

longer need to worry about how much time they spend in the UK. People who are neither working here, nor married to someone working here, might need to consider setting up a Hong Kong company, and being employed by it. This simple solution could save a lot of tax.

IRNSURANCE EGULATION

The New United Kingdom Financial Regulatory Regime What Does it Mean for Insurers? By Nick Bugler and Heng Loong Cheng, Dewey & LeBoeuf

The

doubts after the UK General Election and the

fundamentally the nature of insurance regulation or will they transpose existing FSA rules

formation of a coalition government about whether the

and proposals into their own rulebook? When will the changes take effect and how will the

Conservative party policy to reform financial services

transition from the FSA to the new system be handled?

regulation by, amongst other things, abolishing the Financial Services Authority (FSA), would be implemented

The changes have been heralded as the abolition of the old tripartite system of regulation

have now been removed.

split among the FSA, the Bank of England and the Treasury, but, for most practicable purposes, insurers have been used to dealing with just one regulator – the FSA. It is

The banking and ﬁnancial crisis has highlighted a particular

apparent that, in the future, insurers will need to deal with a multiple set of regulators:

problem with financial regulation – namely, a weakness in the supervision and regulation of systemic risk. While

•

The PRA for prudential matters (e.g. solvency capital levels and new authorisations)

policy makers recognise that insurers are very different from banks, they are not separating

•

The CPMA for conduct of business issues

the regulation of the various components of the ﬁnancial services industry, but are planning

•

A new single agency in relation to ﬁnancial crime

reform of the regulation of all aspects of ﬁnancial services. Further, while insurers may argue that they do not pose Recent proposals outlined by the new Chancellor of the Exchequer, George Osborne,

the same level of systemic risk as the banking industry,

comprise the creation of the following:

they should nonetheless monitor the work of the new FPC and assess the effects of macroeconomic policy on

•

A new prudential regulator, the Prudential Regulatory Authority (PRA), which will be a

the industry.

subsidiary of the Bank of England, to carry out the prudential regulation of all ﬁnancial •

•

ﬁrms, including insurers

Changes in the UK domestic regime will coincide with the

An independent Financial Policy Committee (FPC) in the Bank of England with

implementation of the new Solvency II regulatory regime

responsibility for monitoring macro issues that may threaten the economic and ﬁnancial

for insurers. This will be implemented by a combination

stability in the UK and for taking effective action in response

of new domestic rules and European Regulations

A new Consumer Protection and Markets Authority (CPMA) with responsibility for the

which are directly applicable. Insurers will also be subject to the new European Insurance

regulation of the conduct of business of all ﬁnancial ﬁrms, including insurers, and its

and Occupational Pensions Authority (EIOPA) for insurance that has been created at the

activities applying to all (not just retail) consumers of those services

European Union level and is due to come into force in 2011, which will have powers to issue

A single agency responsible for tackling serious economic crime

binding rules on technical matters arising out of Solvency II.

As these changes will require primary legislation, to be completed by 2012, the FSA

Over the next couple of years, therefore, insurers in the UK will have to pay attention to the

remains in the interim the UK insurance industry regulator. Hector Sants, the FSA’s current

rules and policy work emanating from a variety of sources. Insurers will need to consider the

CEO, has been persuaded out of his announced retirement from regulation to oversee the

following factors:

transition and become the new PRA’s ﬁrst CEO and also a Deputy Governor of the Bank •

New FSA rules that may be issued prior to the transition to the PRA and the CPMA

•

Transitional provisions relating to the implementation of the new UK regime

The responsibility for macro prudential regulation will rest with the FPC which will be given

•

The implementation of the new PRA and its rules

powers to require the new PRA to implement its decisions with respect to all firms. An

•

The new CPMA and its rules

interim FPC will be set up in the autumn of 2010 in advance of new legislation. The CPMA

•

European Regulations implementing aspects of Solvency II

will regulate the conduct of every ﬁnancial services business whether retail or wholesale

•

Technical rules promulgated by EIOPA

and its primary objective will be promoting conﬁdence in ﬁnancial services and markets. It

•

Guidance issued by the European Commission on Solvency II

of England.

will maintain the FSA’s existing responsibility for the ﬁnancial ombudsman service and the ﬁnancial services compensation scheme.

How the new macro economic supervisory regime will interplay with the new Solvency II regime will be interesting to observe. One thing seems sure; the insurance industry will

The government aims to consult fully and publish a detailed policy document before the

have to develop the ability to look in many directions at the same time when it comes to

summer parliamentary recess. It is hoped that more details will emerge on the shape and

understanding its regulatory obligations in the future.

division of responsibilities between the new regulatory agencies. The proposals currently raise more questions than answers as far as the insurance industry

For further information, please contact Nick Bugler at (44) (0)20 7459 5015 or

is concerned. For example, will the new PRA and CPMA seize the opportunity to change

nbugler@dl.com or Heng Loong Cheong at (852) 3697 7019 or hcheong@dl.com July/August 2010 • Vol 25 • No 7

CAPTAINS OF INDUSTRY LUNCH

After The Financial Crisis: The Way Ahead for Hong Kong With

the global ﬁnancial crisis now behind us, economies worldwide are in the midst

system, transparent regulatory environment and excellence of both soft and hard supporting

of trying to reform their financial markets. The Asian markets, which were not as badly

structures are all in its favour. Shanghai still faces policy constraints in these areas, so it may

affected as those in the West, are looking to forge ahead. Sharing his expertise on the

take some time before the city can establish a strong reputation in the international ﬁnancial

subject, Dr David K.P. Li, Chairman and Chief Executive of The Bank of East Asia, Limited

market similar to that of Hong Kong.

expressed his views about Hong Kong’s role in the global ﬁnancial economy at a luncheon sponsored by Bank of East Asia and KPMG, at the Hong Kong Bankers Club last month.

Li went on to explain that while Hong Kong is certainly capable of acting as China’s ﬁnancial centre, the city currently faces several restrictions. For example, while Hong Kong generally

Li began his talk with a discussion of the state in which the global ﬁnancial crisis has left

allows a free ﬂow of capital, trading in RMB is still restricted, making it difﬁcult for companies

the banking industry and its proponents, jokingly saying that it had “turned banking into a

raising funds in Hong Kong to deploy funds into China. This inevitably limits the attraction

dirty word and relegated bankers to a category somewhere below that of lawyers in the

for mainland companies to raise money in Hong Kong.

public eye”. Looking to vindicate the banking industry, Li said he believes that it is essential that Hong Kong policymakers redouble their efforts to build up Hong Kong’s position as an

The framework agreement on Hong Kong – Guangdong co-operation signed in April of this

international ﬁnancial centre.

year conﬁrms Hong Kong’s place as the regional ﬁnancial centre for the Pearl River Delta region. However, with the current restrictions in place, Li argues that while the agreement

Questioning the rationale behind the lead-up to the global ﬁnancial crisis, Li was puzzled at

holds much promise, it offers limited real progress in the ﬁnancial services in the near term.

how US authorities condoned loans to those who possessed limited income or assets and

For example, the framework agreement envisions that Guangdong enterprises will develop

did not intervene to prevent the “foolishness” witnessed within the housing market. Further

RMB trade financing through Hong Kong banks and issue RMB bonds in Hong Kong.

noting that authorities did not consider the systematic risk posed by the expansion of

However, these proposals are still subject to further study.

synthetic CDOs, Li’s view is that the US government recognised that it was good business for America to drive foreign wealth into the US economy, stating that the share of value

David Li concluded his speech with a ﬁrm warning concerning the recovering state of the

added by the ﬁnancial services to US GDP grew from 5.5% from the year 1980 to over 9%

ﬁnancial market in the US, stating that the ﬁnancial reform bill is very unlikely to threaten

in 2004. As the US now moves to reform its ﬁnancial market, Li feels that it is very likely that

Wall Street’s power, and that as such, “America is back in the race”. Meanwhile, he argued,

lawmakers will not clamp down too hard on the industry.

China remains indecisive about which “contestant” to ﬁeld – a delay which could cause the country to lag behind in the future.

Shifting his focus to China, Li stated that as the world’s second largest economy, the country will be vulnerable if it does not nurture the growth of a vibrant international financial centre within its own borders. With the vast amount of investment China has in foreign financial markets, Li believes it likewise has to play host at the same level, saying that the best assurance that the price discovery mechanism is working well is through healthy competition among regions and across markets. In trying to develop a quintessential ﬁnancial centre for China, there has been a long running speculation as to whether Hong Kong or Shanghai will emerge in the preeminent position down the line. In Li’s view, Shanghai may be in the lead; the Chinese mainland has a rapidly developing economy, generates significant wealth, and has a high rate of domestic savings. However, he believes Hong Kong’s traditional strengths are still important: the open access to information, free flow of capital, independent legal

www.brit cha m.c o m

The Outlook for the UK Housing Market Post Election Jack

Simmons leads Jones Lang LaSalle's London Residential team. Speaking

equity in order for banks to offer a reasonable interest rate. While interest only payments

to Chamber members at the Hong Kong club in June, Simmons examined the current

were also prevalent in 2007 for those entering the mortgage market, the current economic

state of the UK housing market, incorporating an analysis of the leading policies from the

climate has made it much harder to acquire. Forecasting beyond 2010, Simmons states

Parliamentary election, and provided a forecast for residential pricing.

that even though GDP growth will be rising at a faster rate that we have recently been seeing during 2012 and 2013, he sees the market in 2010 and 2011 being relatively benign,

Outlining the UK’s current economic

as the current fragile economy slowly recovers.

backdrop, Simmons began with how it had been affecting the UK

Moving focus to the London market, Simmons believes it will outperform other markets

housing market in the past few

around the UK. Currently, there is a lack of houses in London due to high demand and not

years. With the economy currently

enough supply. This has very much to do with the unique planning system which proves to

recovering, GDP growth is returning

be lengthy, costly, and at times arbitrary as planning permission is not always granted. At

growing 0.3% in the first quarter

this time, there are roughly 28,000 homes in the planning application process.

of 2010, with Oxford Economic predicting a growth of 0.9% by

Though 105,000 private homes have already been consented for delivery in London

the end of the year. Forecasting

between now and March 2011, Simmons believes only 12,000 will eventually be delivered.

even further into 2012 and 2013,

This falls far short of the UK government’s targets, with Boris Johnson suggesting a target

predictions for GDP are at 3.0 and 3.3 respectively, with Simmons stating that this period

of just over 33,000 houses per annum in London. The government feels this is necessary

will be signiﬁcant in the market. The growth of the economy will be key in residential markets

as statistics suggest that in Greater London alone, between 2006 to 2031, the number of

as it creates job security and personal wealth.

households will grow by 1.15 million. This highlights a major shortfall between government predictions and what the industry can realistically deliver, as the industry has fallen well short

Shifting away from economics, Simmons provided an overview of the UK housing

of the 33,000 target for many years. Due to the lack of debt ﬁnance available to developers,

market. Peaking in 2007, the market steadily decreased until February 2009 dropping

it is very unlikely that the industry will reach this target anytime soon.

roughly 20%. However, due to economic recovery, the market has seen a staggering rise since the trough in February 2009 all the way through until April 2010, rising by roughly

Speaking about the new hung parliament coalition in the UK, Simmons states that it is not

10 % year on year. This rapid increase deﬁed all expectation from industry professionals,

immensely affecting the UK’s property market. One small but notable industry issue is the

commentators and press who had predicted that market recovery would take twice as

government’s suspension of acquiring Home Information Packs when selling a residence,

long and would be twice as shallow.

which helps to facilitate the process more quickly. However with a £156 billion debt, he does stress that a lot of emphasis will be put on taxes such as National Insurance, capital

Simmons emphasised the importance of recognising that the residential market not only

gains tax and inheritance tax, as well as changing personal allowances. This is signiﬁcant

reacts differently regionally, but also differs depending on the type of property; something

as it affects personal income and the ability one will have to step up the property ladder.

which will be reﬂected in its price. Overall, the key factors in the residential markets are

Looking to the future, the government sees London as the powerhouse to kick start GDP

demand and supply issues. Towards the end of 2007, there were far more new instructions

for the UK economy. Accordingly, the London housing market will retain its target of 33,000

coming into the market than buyers due to a major stagnation period for people wanting

delivered houses per annum. However, the Regional Spatial Strategies which targeted how

to move house. This changed dramatically towards the beginning of 2009 as the economy

many units that boroughs outside of London had to deliver, has been abolished and so no

recovered and buyer enquiries skyrocketed with buyers feeling more financially secure.

longer have to adhere to any housing target numbers.

However, with the corporate structures of developers being affected during the ﬁnancial crisis, very few developments were being built over that period of time resulting in a

Summing up, Simmons reiterated the imbalance of demand and supply that currently exists in

shortage of product. This led housing prices to rise towards the end of 2009. As we

the UK. With limited house numbers in prime areas, doing the proper due diligence is key when

approach the second half of 2010, forecasts have predicted a slightly quieter market since

considering the property in which to invest. This is especially true as more people are looking

demand and supply are now in balance, albeit for the short term.

to the property market as part of their pension plan for a more secure future. Even though the UK investment market is coming back Simmons feels mortgages will be one of the key

Mortgage lending also saw a drop of 70% from its peak in 2007 to April 2010. Currently

fundamentals of the residential markets in the future, and if ﬁrst time buyers cannot afford them,

mortgages are much harder to get, with potential homeowners having to put down more

there is no movement up the property ladder, which affects the cycle of the entire market.

July/August 2010 • Vol 25 • No 7

BUSINESS

Eight and a Half Habits of Effective Managers By Christopher Riley The trouble with the rat race, as a sage said, is that even if you win the race you are still a rat. These days, with the pace of business being so fast, many managers feel they are running on the spot, spending all day replying to emails or attending meetings: activity that often has no meaningful outcome.

a recent peer group lunch the speaker pointed out that most organisations are

5. Don’t answer your phone when you are concentrating on something important.

dysfunctional. The banking crisis proved this statement because it seemed that large

Like Pavlov’s dogs responding to a ring of a bell we always answer our phones, irrespective

corporations had been running headlong off the cliff - like pinstriped lemmings - simply

who is calling. There is simply no need to answer the phone when you are trying to

because nobody had the time or courage to call out and stop the madness.

concentrate on a task. With caller ID you can screen for anyone who is absolutely vital.

Here are a few thoughts on how to become a better manager in these challenging times.

6. Take an hour every Friday afternoon to review the week’s work and plan the next.

1. Have a daily meeting with your team.

“Time spent on planning and preparation is seldom wasted” is an old army maxim.

Communication is vital to make sure everyone is on the same page. A weekly meeting is not

Consider and arrange you schedule to focus on what will provide the highest returns. Don’t

good enough, given the pace of things. Nor does it make sense to have endless meetings

be reactive, become proactive.

back-to-back all day long as nobody has time to get their work done. Make a habit of a quick morning meeting at 0900 hrs to discuss any new problems, who is doing what and

7. Keep a written list of all the tasks you have to do and review it regularly.

get an idea of the status on projects. Set an alarm clock if you can. In the Hong Kong Police

Nowadays there is just simply too much to remember. Dave Allen, a famous efﬁciency guru,

they call this “Morning Prayers”.

advises people to write everything down and once it is out of your head and on a list there is palpable stress relief. We use a great software system called “Things” which synchronizes

2. Have a monthly one-on-one meeting with your direct reports.

with our laptop and our iphone but a piece of paper will also do. You have to be religious

Trust your team members, nurture them, delegate suitable tasks and let them get on with

about working off one, single and deﬁnitive list.

their work. Do not micro-manage. However, everyone needs a bit of personal face time with are not suitable for an open meeting. Treat the monthly one-on-one as a sharpening of the

8. Have clear written procedures for all parts of your business. Ensure that everyone has read them and follows them.

tools in your team cupboard. Document the discussion and outcome and refer to these

Most small, entrepreneurial businesses suffer from growing too fast and don’t spend time

notes in the next meeting.

ﬁxing the underlying infrastructure. When things go wrong due to internal miscommunication

the boss when they can share their frustrations, ambitions and ask awkward questions that

everyone begins pointing ﬁngers saying it was somebody else's responsibility. You can’t

3. Have a monthly informal lunch with your team.

assume that everyone in your team or organisation knows what is expected and how to

There is nothing more important than cementing team spirit through enjoyable social activity.

go about doing things. Take the time to write down all your procedures and instructions.

It does not have to be an outward bound camp in the wilds of Sai Kung. A simple lunch,

You will be surprised how few procedures you actually need to run a business. We have

dinner or karaoke will do wonders for resolving internal team tensions.

eighteen ofﬁces globally and over three hundred employees and there are only twenty-two procedures that run the entire company.

4. Read and reply to your emails only three times a day. Don’t become a slave to the email process. Business worked perfectly well before the

Document all your meetings so that follow-up is clear and transparent and responsibility is

advent of computers. It’s nice to communicate fast but take time to consider what you are

allocated. Much of this can be done through web-based software like Basecamp, Highrise

saying. Check your emails in the morning for anything urgent, then focus on tasks that need

and Salesforce.com which can be “rented” on a monthly basis online.

to get done before having another clean up of the Inbox before lunch. “Work expands to ﬁll the time available to do it” (Parkinson’s law). You will ﬁnd that while you are on holiday, one

hour with the BlackBerry at the pool can address all the e-mails you normally spend a whole

Christopher Riley is the owner of Sercura, a global quality and compliance solutions provider and

day working on at the ofﬁce.

has been managing teams and companies in Asia for over twenty-ﬁve years. www.sercura.com

www.brit cha m.c o m

REPORT

Mid-year Market Trends and Salaries Report By Matthew Hill, Managing Director, Hong Kong at Ambition

has been a positive and hectic start to 2010 from a recruitment perspective. After the

Improving business sentiment has revitalised

woes of 2009, the banking and ﬁnancial services sector has rebounded aggressively and

the job market in 2010 and the volume of senior

has been frantically recruiting in order to cope with the increasing business volumes and the

positions, particularly in banking and financial

demands from their clients. The broader commercial sector has been slower to improve and

services, has been increasing throughout the

at the end of Q2, 2010, we feel that its return to high volume recruitment activity may take

first two quarters. Recruitment volumes in the

some more time.

commercial sector are continuing to pick up and whilst it lags behind the banking and financial

During April and May 2010, Ambition conducted a survey amongst our clients focusing

services sector, we do expect continued

on recruitment and market trends in the second quarter of 2009. 456 Hong Kong based

improvement throughout 2010 and into 2011.

executives were surveyed. This comprised an even spread of ﬁnance, sales & marketing and human resources professionals from 260 companies across twelve industry sectors. The survey mainly focuses on three core areas: business performance and market outlook, hiring trends as well as compensation and beneﬁts.

Contracting Staff Hiring contracting staff as a substitute or as a complement to permanent staff will remain strong over the next twelve months as 50.7% of respondents said that they would consider this

Hiring Challenges

type of hiring this year. Budget constraints and tight headcount approvals were the most common challenges

In Hong Kong, most contract/temporary roles, especially during the second half of 2009, were

when hiring through 2009 yet early in 2010

in essence permanent headcount that companies could not approve after the negative effects

we have seen a definite shift towards a more

of the global ﬁnancial crisis. We have also noted that the contract term served as a probationary

candidate driven market, where employers are

period where contractors were being tested on their ability to adapt to the new company,

increasingly losing their position of power in the

systems, culture etc. If the contractor performed well and was adding value to the business then

hiring process as quality candidates have more

a permanent role was offered. These practices still hold true today but the increase in the use of

options to choose from.

contract staff for one-off projects or to cope with rapid business growth has increased.

Our survey shows that the toughest

Salary and Annual Bonus

challenges organisations are now likely to face when hiring are the lack of qualified candidates (57.2%), salary inflation (42.8%)

In our last survey, nearly 60% of respondents believed they would be receiving both salary increments and an annual bonus for 2009.

and increased turnover (40.6%). This points very much towards a recovering market and these changes in the challenges faced are unsurprising. Our advice to employers is to be aware of the shifting landscape and prepare for a more challenging hiring process and thus manage expectations for each stakeholder.

However, in the latest survey findings we discovered that 73.1% of respondents had actually received salary increments for 2010 and annual bonus for 2009. This is obviously a much rosier picture than our respondents were expecting to see. The majority of respondents (41.6%) commented that their salary increment

Candidates have also been returning to the job market and are now looking for new opportunities as business conﬁdence has grown. High calibre individuals are able to secure multiple job offers and this is having an effect on salary inﬂation as companies compete for

was between 1-3% with 18.3% receiving 4-6% increases. Only 19.1% of respondents did not receive a salary increment this year.

the best talent. However, the figures are perhaps not quite as Now, more than ever, employers need to be increasingly ﬂexible about their requirements and should keep the momentum going during the recruitment process by moving quickly on good candidates so as not to risk losing their preferred individual to a competitor.

positive for annual bonuses. 29.7% of respondents conﬁrmed that they received an annual bonus for 2009 which was equivalent to 5 to 10% of their annual salary. The average annual bonus of 11.4% of respondents was between 11% and 15% and only 17.8% received no annual bonus due to unsatisfactory business performance in 2009. Therefore,

Hiring

bonus payouts have been mixed across each sector with some companies paying positive

It appears that the unemployment rate in Hong Kong will continue the downward trend we

bonuses and others being poor or in some cases nothing at all.

have seen since mid-2009. Our survey ﬁndings seem to support this theory. In this survey 67.7% of respondents questioned were actively hiring (Q2 2010) with a further 11.4% considering hiring actively in Q3 2010.

For further information, please go to www.ambition.com.hk July/August 2010 • Vol 25 • No 7

BUSINESS

Making Real Money from Virtual Reality By Jeremy Payne, Head of Marketing at Designercity

Mobile

marketing is considered by some to be the medium of the future. We say

information clearly has numerous other practical applications; in Paris, the same “Layar”

they’re wrong – it’s already with us today and, whether you’re comfortable with it or not, it’s

technology will show you the location of your nearest Metro station. Imagine how handy

going to play an increasingly large part in our lives. In fact, in a couple of years’ time, we will

this function would be in Tokyo, perhaps the world’s most bafﬂing city to navigate for non-

probably ﬁnd the enhanced functionality of mobile devices such as smartphones to be as

Japanese speaking businesspeople!

ubiquitous a part of our lives as email. Applications within the travel and tourism sphere are fundamentally changing the way we glean Martin Sorrell summed it up when he remarked that it is either the most over-hyped

information about new countries and places. Cities, guidebooks, tour companies and ski resorts

development in the industry or the most underrated, so fundamentally can it change the

can now create their own “channels” in augmented reality browsers to upload information

way we interact with the world around us.

about restaurants, sights and shops. For example, when the browser recognises where your smartphone is pointed, it can label points of interest using small icons. Just tap on the icons to

Already, what was once considered by many to be a fringe marketing activity has now,

get more information, ranging from address and phone numbers to historical backgrounds or

with the advent of increasingly sophisticated hand held devices, moved to the mainstream

Wikipedia descriptions. This facility can also be easily cross-referenced to critical guides such

marketing agenda. This is a revolution initiated by the market itself, and marketeers have no

as restaurant review sites. In fact the Lonely Planet guides are already a good way through

choice but to follow it; the smart ones however, are also pre-empting it.

cataloguing US cities with this type of information delivered via augmented reality.

What has stimulated this is a convergence of three established technologies in a

The applications are endless. Do you want to “see” what a ski slope looks like before

smartphone: camera, GPS and compass — enabling the camera to “recognise” an object

heading off downhill? An app now allows you to point your phone anywhere on US ski

or place that a user is pointing to by overlaying the screen’s image to location data, and

slopes to see trail maps and the location of lifts, restrooms and restaurants.

perhaps cross-reference that to a database. Ever wanted to walk the Abbey Road zebra crossing with the Beatles? A Beatles-themed Very smart indeed, you might say – but the trick is taking this technology and using it in

augmented reality tour in London produces icons of the legendary band members when the

practical applications, applications that genuinely make life easier. Marketeers should also

phone is pointed down Abbey Road.

be alive to the business generating opportunities. After all, “Where am I?” and “What am I looking at?” are probably tourists’ most common Here in Hong Kong, you can get a free smartphone download from McDonald’s that

questions. Although it’s not a real-time, moving guide, Google Goggles is an image-

shows you the direction of your nearest restaurant, and how far it is. This kind of directional

recognition application that can be used for searches based on pictures taken by the phone. Just take a shot of a landmark or artwork and you’ll receive an immediate Google search result about the subject. If you’re still not sure if your brand should be on mobile, consumers have already made the choice for you. In the UK, over 4 million consumers are already using their mobiles to search for information on products and services and search volumes are growing 4 times faster than online. And here in HK, almost 50% of new phones sold are smartphones, and rising. With the new world of enhanced functionality already entering numerous aspects of our lives, it’s time to catch up with your customers and take mobile marketing as seriously as the market takes its smartphones.

For further information, contact Jeremy at jeremy.payne@dchk.net or visit www.designercity.com

www.brit cha m.c o m

CAPTAINS OF INDUSTRY LUNCH Sponsored by:

Michael Geoghan, Group Chief Executive, HSBC Holdings plc

Having

weathered some tough times in recent years, Asian banks have emerged

Asian bankers must also be more vocal in regards to its ﬁnancial position by not being so

from the global ﬁnancial crisis in better shape than many of their Western counterparts. In

modest about their achievements. Providing examples, Geoghegan cites China’s excellent

June, Michael Geoghegan CBE, Group Chief Executive, HSBC Holdings plc provided his

detailed regulatory system as well as Hong Kong’s ability to strengthen its system through

insight to chamber members about the huge scale of change the Asian economy faces,

consolidation when necessary. For Asia to move forward in this direction would give

and the challenges and opportunities ahead.

opportunities for ﬁnancial centres such as Hong Kong, Singapore and Shanghai to gain ground on cities such as London and New York.

The general consensus amongst Geoghegan’s colleagues in the West is that the ﬁnancial crisis is still alive and well. The size of the issues they are facing were reﬂected in the UK

Asia’s second challenge is to develop a financial and capital market that is in step with

budget and the government’s intentions to tax the liabilities of the banking industry. Likewise

the growing economy. Geoghegan states that, at the basic level there are two and a

in the US, the reality is that there is recovery under way but it is slow, painful and a tax

half billion unbanked people in the world and nearly all are in emerging markets. As

driven redistribution of wealth, and we should expect many things from the West as the

the Asian economies grow, hundreds of millions of people will seek and need access

world’s economy moves East.

to the financial system and as their wealth increases, their financial needs will become more sophisticated.

Shifting focus to Asian economies, Geoghegan states that while the Asian economy is not immune to world events, it has still emerged stronger than any time in the last 200 years,

The ﬁnal challenge for Asia is to continue the path towards liberalisation. Asia remains

having gone from being high risk to becoming a safe haven in a very short period of time.

a continent of contrast. Though its main ﬁnancial hubs are among the most liberated

The scale of change that has come through Asia is extremely signiﬁcant, fueled by China

in the world, its bigger economies are still relatively insular by international standards.

and how it has interfaced with the rest of Asia and the world.

During the financial crisis, many foreign banks had pulled out of China, and in the wake of the crisis, many banks are likely to find it hard to be building strong long

A signiﬁcant factor for Asia moving forward is the fact that it has people power, with China’s

term relationships. According to Geoghegan, what we have to accept is that the easy

population at 1.4 billion, India’s at 1.2 billion, as well as more overlooked economies such

opportunities of foreign countries going into China with their expertise is now no longer

as Indonesia which has the world’s fourth largest population. As Geoghegan states, the

the position – they now need to compete, and this includes HSBC. However, with

Asian economic muscle is growing, with the region representing 30% of global GDP, yet

HSBC’s presence in China since 1865, Geoghegan says that HSBC’s relationship with

is predicted to generate 60% of the world’s growth this year. With the strengthening of

China has never been better than it is today, and its new listing in Shanghai will be an

the Asian economy, the Asian consumer is now king. It is estimated that Asia will spend

important part of its plans in the region.

125 billion dollars on consumer products this year. Even though personal consumption across Asia is still a third of western world, it is rising rapidly. China is also strengthening its economy by taking advantage of changing trade routes that are seeing them export more to emerging markets when compared to G7 nations. According to HSBC research, it has been revealed that Asian economies are growing fastest of all and Asia as a whole is well able to generate its own wealth even if the West stands still.

Geoghegan concluded with the lessons that the West can learn from the Asian economy. Though some hold disbelief regarding the concept of ‘the West moving East’, he says that the statistics are undeniable, and those that change strategies accordingly are the ones that will beneﬁt. Geoghegan believes that Chinese and Asian authorities should be more involved with global entities, not just being members of these committees, but leading them. Speaking speciﬁcally about the G20, he states it should not be dominated by the wealthy countries of the past, if it is going to work. As economic clout shifts East,

However, despite having the raw materials for success, in order for Asia to truly come into its own, Geoghegan finds it has to address three challenges. The first is for Asia to play a greater role in the global financial system. This includes challenging global tax levies to ensure it is structured so Asian companies are not subject to a double taxation.

www.brit www.britcha cha m.c m.co om m

we have to ensure there is no fear between the US and China, and it is important they invest in each other. The challenges for Asia in the coming decade are now less about how things pan out in Europe and America, and more about Asia taking its rightful role in the international stage.

DIAMOND

Australian

diamond expert Sally Ryder set up her own business, Ryder

Diamonds, in Hong Kong five years ago, selling customised diamond jewellery that is

million carats in 2008. With increased demand expected from emerging markets like China and India, an increased imbalance between supply and demand is anticipated.

designed and manufactured in-house. She spoke to Rory Mitchell about recent trends in the international diamond market, and gave some advice on how to go about searching for

However, Sally does have some advice for customers who are looking to make the most of

the perfect stone.

their money when buying diamond jewellery. Diamond prices follow the monthly Rapaport Diamond Report, which lists prices based on carat, colour, clarity and cut. However, the

In the aftermath of the ﬁnancial crisis, spending on luxury goods fell sharply, particularly in

way that prices are scaled can mean that two very similar diamonds can have very different

high-consuming countries like the US. The diamond industry did not escape this fate; prices

prices. Take size, for example – with all other factors equal, the price of diamonds between

began to fall as sales declined and stockpiles grew. However, as Sally reveals, a tightening of

1-1.49 carats is exactly the same. Step up to 1.5 carats, however, and there is a signiﬁcant

supply by major diamond producer De Beers has led to a sharp increase in prices for rough

increase in price.

diamonds, and this increase Is now having an impact on the price of cut diamonds soon. “I advise people to look at ‘off’ sizes. Anything between 1.2-1.49 carats is a lot better priced “In 2008, De Beers closed two mines to help stimulate prices – their largest mine by volume

than 1.5 carats and over, where the price increases. The difference can be several thousand

of diamonds produced, and their largest mine by value. Since then, we’ve seen a sharp

US dollars – so a 1.4 carat stone is much better value than a 1.5, despite being almost

increase in the price of rough, uncut diamonds.”

identical in appearance and size.”

“De Beers really control the supply of rough diamonds to the market. There are other

The number or size of imperfections, as well as clarity of a diamond can also have a large

producers, in Russia for example, but why would they reduce prices to compete? They

inﬂuence on the price.

don’t have to – they’re getting top dollar for their stock. Stock of cut diamonds is really drying up as a result. Now, suppliers are being forced to start cutting the expensive rough,

“An increase of just one grade of clarity causes the price to rise by several thousand US

and that is pushing up the price of cut diamonds. Diamond prices have been increasing

dollars when considering a size of over 1 carat. This is where I can educate my clients – by

quite steadily over the past six months and will likely continue to do so.”

indicating that compromising on clarity to a certain extent can drastically reduce the cost yet will not affect the beauty of the diamond. A diamond with a value of US$16,000 may

The tight supply of cut diamonds has made ﬁnding the right stones for clients increasingly

appear no different to a diamond worth US$9,000.”

difﬁcult, meaning dealers like Sally have to cast a much wider net to secure the perfect stones for her clients

According to Sally, clarity is often seen as the most important factor in the Hong Kong diamond market, with consumers often paying exorbitant prices for internally flawless

“Previously, popular sizes of diamond were easy to ﬁnd, but now it’s much harder. Recently

diamonds. However, she believes that the cutting of a diamond – the way it has been

when we have secured the perfect stone, we have found that market prices have increased

shaped from the rough, and the degree to which it is well-proportioned – has a much larger

signiﬁcantly in comparison to prices three or four months ago. Also, the suppliers that I have

effect on the way it looks.

a good relationship with will usually lend us stock on consignment, meaning that we don’t have to purchase until we sell to our clients. At present, because our suppliers are so short

“People often confuse clarity and cut. They think that clarity is what makes a diamond

of stock, we’ve been ﬁnding that they can only offer stock on consignment for short periods

sparkle. In fact, a diamond sparkles due to light refraction and a perfectly cut diamond

of time. I like to give my clients time to consider the stones that we offer, however I’m now

will reﬂect the maximum amount of light. If the cut is too deep or too shallow, light is lost

having to make them aware that if they cannot decide quickly then they may miss out.

through the bottom and sides, and the stone will look dull in appearance.”

What’s more, the longer they wait, the higher prices are going to become.” Given the inﬂuence that De Beers has over the diamond market, Sally believes that prices will remain high for the foreseeable future. Indeed, a statement from the ﬁrm earlier this year that the supply of diamonds is running out over the long term, as reported in the Financial

“Two stones of the same carat weight, clarity and colour can look very different depending on how they're cut. You can immediately notice that the perfectly cut diamond is fiery, brilliant and sparkly, while the poorly cut diamond looks dark and lifeless.”

Times, would certainly suggest that prices will not be going down any time soon. De Beers has decided to cap future production at 40 million carats per year, down from a high of 48

For more information, go to the Ryder Diamonds website at www.ryderdiamonds.com July/August 2010 • Vol 25 • No 7

EVENT

The Standard Chartered Bank British Chamber of Commerce Annual Ball 2010 Jungle

Fever was in the air at the Grand Hyatt on Friday 11th June as Standard

Chartered Bank and The British Chamber of Commerce welcomed a sell-out crowd to

crowd were clearly moved by the jungle rhythms provided by Andy Bautista and his band, and were getting down to the “jungle boogie” until well into the early hours!

join them at “Jungle Rumble” – the 2010 British Chamber of Commerce Annual Ball.

Charity Taking inspiration from Rudyard Kipling’s classic novel “The Jungle Book” and in

The British Chamber chose the End Child Sexual Abuse Foundation as the designated

celebration of the Chinese year of the Tiger, guests wearing extravagant jungle themed

charity for the Ball, and through various fundraising activities raised over HK$530,000.

costumes took a walk on the wild side and enjoyed an evening of wild entertainment in

Prizes in the Live Auction were generously donated by Chamber members and luxury

a jungle setting.

British brands and included: a stunning pair of leopard print shoes by British designer Rupert Sanderson, a custom made suit by Alfred Dunhill’s master tailor, a pair of

Jungle Feast

diamond earrings from Ryder Diamonds, a stay in the new Ritz-Carlton Hong Kong, a

Guests were welcomed with Jungle Juice and Mowgli’s Mojito themed cocktails, before

Jungle Expedition in Borneo donated by HSBC, and a stunning rare 1926 publication of

indulging in a spectacular Jungle Feast. The opening course, Bagheera’s Jungle River

the Jungle Book hand signed by Rudyard Kipling himself. Guests at the Ball were also

Treats, was followed by Kaa’s Slippery Soup, Shere Khan’s Fiery Feast, and Baloo’s

able to purchase half-price facials from British luxury skin care brand Elemis, with funds

Fruity Finale. After dinner Whisky was “The Quinta Ruben Single Malt” kindly provided

raised going to the charity.

by Glenmorangie.

Gift Bags

Entertainment

All guests at the Ball took home a great gift bag with prizes kindly donated by Chamber

Guests enjoyed non-stop entertainment throughout the night. As guests entered the

members, including Elemis skincare products, Jaguar cufﬂinks, BBC Worldwide DVDs and

ballroom they were welcomed by a jungle drum jam, and throughout dinner were treated

books, scented candles form Colourliving, a Red Packet

to a stunning stage show which moved from an opening number featuring a cast of

Tasty gift experience, wine from Marks & Spencer and a

dancing monkeys, zebras, and tigers, through to a high energy tribal fusion ﬁnale. The

subscription to Hong Kong Tatler.

www.brit cha m.c o m

July/August 2010 • Vol 25 • No 7

EVENT

And thanks to our event sponsors Title Sponsors

Gold Sponsors:

Silver Sponsors:

Other Sponsors and Supporters:

The British Chamber of Commerce Ball 2010 raised funds for End Child Sexual Foundation:

Many thanks to the following companies who donated prizes for the Annual Ball 2010

www.brit cha m.c o m

MEETING Cultivating Cross-border Cooperation:

BritCham HK meets with BritCham GD By Mark Geary

Our

first cross border meeting between BritCham in Hong Kong and BritCham

Jeremy explained that BritCham in Guangdong had around 200 members and was active in

in Guangdong made a flying start with our leader Tim Peirson-Smith, Chairman of our

promoting trade and industry but had little interface with provincial authorities. Key issues and

Business Policy Unit (BPU), sprinting to Hung Hom Station as we boarded our train and

concerns were generally represented via the Consulate. However he welcomed the mention of

headed into heavy rains as we crossed the border. We were warmly greeted at Guangzhou

the meeting to gain further understanding of key business concerns and priorities of each side.

East Station and only had to cross the road into the well appointed PWC ofﬁces where we

In the discussions the current topics of concern for BritCham in Guangdong members were

were warmly welcomed by Jeremy Sargent, Chairman of BritCham in Guangdong, and his

improving market access, increasing wage costs, shortages of factory workers, increasing

team of ten delegates.

raw materials costs and a shortage of senior management talent. He commended reading the NDRC Plan for China and suggested this could be a good topic for ongoing discussions

The Hong Kong delegation’s objectives in their visit to Guangzhou, led by the members

between the Hong Kong and Guangdong Chambers (Guangzhou and Shenzhen). Overall both

of the BPU, were to discuss the future of the PRD’s development, to look at the

delegations found the meeting very worthwhile and Tim extended an invitation to BritCham in

issues businesses face in the PRD and to ascertain whether there is scope for future

Guangdong to visit Hong Kong for a further exchange of views later in the year.

cooperation with BritCham in Guangdong, especially where communicating key business concerns and priorities with the appropriate PRD authorities is concerned.

The Hong Kong delegates represented a few of the Chamber’s committees that have an

Hong Kong, Macau and the PRD are increasingly becoming more integrated and Hong

interest in the PRD. The meeting was chaired by Tim Peirson-Smith, Chairman of the BPU

Kong based companies are looking for more access to the market up there, especially

and the Hong Kong delegates consisted of: Rhonda Lam and Benjamin Mueller-Rappard

in areas such as environmental services, IPR, products and construction. The aim

from BPU, Alistair Cannons from the Construction Industry Group, Robert Footman and

of the meeting was to have an open discussion and sharing of views and to have a

Mike Kilburn from the Environment Committee, Mark Geary from the SME and China

mutual understanding of any concerns and issues.

Committees and Dovenia Chow, Business Development Manager for the Chamber.

www.britcham.com

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British Chamber members enjoy a number of substantial discounts. Please contact: charles@speedflex.com.hk to discuss your requirements before January 1st 2010.

July/August 2010 • Vol 25 • No 7

EDUCATION

Navigating the Local School System It’s

a little known fact among the expat community that the city has a rising number

secondary and higher education as well as future job prospects. The local curriculum is

of local schools that welcome non Chinese speaking children; most of these schools offer

based on raising children who are “bi-literate and trilingual” with Cantonese and English

English as the medium of instruction and are a viable alternative to the more expensive

taught as core literacy subjects, and Mandarin as an additional spoken language. At my

international schools, especially for those expatriates whose companies will not cover the

son’s school, Cantonese is taught from scratch to the NCS children and they study it for 10

cost of education. We spoke to Lisa Bowman, Chairwoman of the Women in Business

hours a week.

Committee, about her personal experience of the local school system. Academic standards are also very high – Hong Kong’s primary education is consistently

Lisa, how long have you been in Hong Kong and how many children do you have? I´ve lived in Hong Kong for 10 years and I have one son, Cassius, who is six years old.

ranked among the best in the world, especially for maths and science. In terms of disadvantages, the school regime is heavily textbook oriented and there is the contentious issue of homework – typically 45 minutes to 1 hour per day for P1 students – and of course tests and exams for which the local system is renowned. The physical

What nationality is your husband and what language do you speak at home?

environment is also very austere compared to international schools and you can expect windows to be open during cold weather as it is believed that circulation of fresh air helps

We are both British and speak English at home.

prevent the spread of illnesses!

What school does your son attend? Why did you choose this school and are you happy with your choice?

What sports and after-school activities do local schools offer?

Our son attends Li Sing Tai Hang School in Causeway Bay. We chose it when all other viable options had been exhausted on the grounds of cost, location or special needs provision, because it is an English Medium school – one of 17 schools across the territory

At Li Sing Tai Hang, there is a free after-school homework/tutoring club and numerous activities such as cub scouts, dance, music, taekwondo, cricket etc. My son is learning to play the violin; an hourly group lesson costs around HK$50 per week. He also has two PE lessons a week which I think is pretty normal. PE lessons are based on games skills as there is no school gym or sports ﬁeld.

which have admitted a critical mass of Non Chinese Speaking (NCS) students and have therefore been nominated as “designated NCS schools”.

Any further advice or ﬁnal comments?

I can honestly say that we have been very pleasantly surprised! Li Sing Tai Hang School is

Had I known that our son would be entering the local school system, I would probably have

a friendly school with small class sizes (23 students only in my son’s class) and dedicated,

enrolled him in a local kindergarten which catered for K3 students. This would have helped

professional staff.

to lay the groundwork for his Cantonese and an additional bonus would undoubtedly have been our eligibility for the pre-primary education voucher, which entitles eligible children to

For people wishing to send their children to local schools, how does the application process, point and lottery system work? There are basically three types of primary school offering the local curriculum: Government, Aided and DSS Schools. Government and Aided schools are funded by the government

free pre-school education!

And all I would say to any expat parent, is don’t dismiss the local system – the experience for my family has been an eye-opening and ultimately rewarding one.

and fall within the scope of the Primary One Admission Scheme which is overseen by the Education Bureau. DSS schools fall outside the scope of the Primary One Admission Scheme and have their own admission criteria, which varies from school to school.

Details about Primary Education and the School Places allocation system can be found on the EDB website www.edb.gov.hk and enquiries can also be made in person at any of the

Application forms for the Primary One Admission Scheme are available from the Education

following:

Bureau in September for admission in the following academic year. If you have a particular school in mind, you can apply for a Discretionary Place by submitting the application form

Hong Kong Regional Education Ofﬁce

directly to the school of your choice; if the applicant has sibling(s) studying or parent(s)

53/F, Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong

working in the school, they will automatically be admitted but all other applicants are

Tel: 2863 4646

assessed according to a Points System, which is very transparent.

Kowloon Regional Education Ofﬁce Podium, East Block, EDB Kowloon Tong Education Services Centre,

The Discretionary Place admission results are disclosed in November. If you are unsuccessful

Tel: 3698 4108

at this stage, you will automatically be invited by the Education Bureau to participate in the

New Territories East Regional Education Ofﬁce

“Central Allocation” Stage, when you are requested to widen your selection of preferred

22/f, Landmark North, 39 Lung Sum Avenue, Sheung Shui, New Territories

schools. Results are published in early June. NCS families are not constrained by the usual

Tel: 2639 4876

catchment area restrictions and the allocation is randomly drawn by computer.

new territories west regional education ofﬁce 19/f, Chinachem Tsuen Wan Plaza, 457 Castle Peak Road, Tsuen Wan, New Territories

In your opinion, what are the main advantages and disadvantages of sending children to a local school?

Tel: 2437 7272

Apart from the cost and ease of accessibility, the biggest advantage, in my opinion, is the

There is a leaﬂet entitled “Education for Non Chinese Speaking Children” which gives details

opportunity to learn Cantonese to a near native standard. For any parent who plans to

of the designated NCS schools. Individual school proﬁles can also be reviewed at chsc.edb.

stay in Hong Kong long term, this opens up more opportunities for their child in terms of

hkedcity.net/en

www.brit cha m.c o m

ENVIRONMENT

Every Building a Powerhouse By Dr Josie Close, Senior Research Fellow for the School of Energy & Environment, City University of Hong Kong, and Dr CK Chau, Associate Professor in the Department of Building Services Engineering, Poly University of Hong Kong

Buildings

are not usually categorised as energy providers. Yet that is exactly

The concept of on-site generation is usually

what recent research at The School of Energy & Environment, CityU and the Building

associated with polluting and noisy “gen-sets”.

Services Department of PolyU, commissioned by the Business Environment Council Climate

On-site combined heat and power (CHP)

Change Business Forum, has been investigating.

achieves high efficiency at extraordinarily low emissions that satisfy even the most

Dr Josie Close and Dr CK Chau have reviewed advances in building technologies exploring

environmentally stringent requirements.

the transition of buildings from energy consumers to energy generators. Their research

According to US-EPA, CHP results in a

categorises 29 technologies into conservation, generation and storage, and highlights

25% fuel and CO2 emissions saving over

their value to the Hong Kong built context. Analysis of a range of technologies applied to a

centralised plant generation. CHP, or “tri-

generic ofﬁce and residential tower indicate large and realistic savings potential.

generation” when cooling is included, is now widely applied around the world yet HK’s

Presently, the majority of HK’s existing building stock is using out-dated technologies so

historical supply agreements have prevented

their energy performance is generally poor. Since buildings consume 89% of HK’s generated

its application here. Diversifying the traditional

electricity, improving that performance can save both energy and carbon emissions to

role of the utilities is a very necessary function of the new energy roadmap. A very important

improve air quality and meet the PRC’s pledged carbon reduction targets.

role exists for our utilities in embracing on-site generation. Analysis indicated a further 22% emissions reduction could be achieved by operating on-site tri-generation in HK.

The researchers consider that 50% reduction in building energy use and CO2 emissions is achievable – and within reasonable cost constraints – through a major retroﬁt programme.

Less well-known is the concept of micro-hydro in which the energy of water ﬂowing in pipes

Their action plan requires a series of integrated collaborative programmes supported by

is captured. HK’s high-rise buildings require water supply to be pumped to supply tanks.

government policy. It includes education and training of “energy professionals” but also

Recapturing that used energy is valuable – assessed at a further 8% energy saving for the

requires a shift in the present role of the electricity-generating utilities and new funding

generic buildings – and could be achieved for relatively small investment. HK’s high-rise

concepts through the ﬁnancial sector rather than government subsidy.

character implies there should be value in recapturing energy from regenerative braking lift systems. Retroﬁtting HK’s 20 year-old lifts would save sufﬁcient energy annually to power

Conservation strategies are generally widely available and already cost-effective – the

75,000 journeys in an electric car.

so-called “low-hanging fruit” of retroﬁts paying for themselves in a few years. The digital revolution has superseded mechanical with electronic components achieving far higher

Once the energy recapture concept is established then the importance of storage devices

efﬁciency and lower energy use through a range of standard systems components in almost

becomes relevant. The devices are just beginning to gain prominence, prompted by the

all building services systems.

urgency to achieve range, power and acceleration in EVs. A variety of light-weight and lowcost batteries is being developed including short-term storage by super-capacitors.

An international trend for better control of energy use – driven by climate-change imperatives – is being adopted by national governments and prompting global manufacturers on-board

The long-term target is on-site generation with zero GHG emissions and zero emissions

as much as local utilities. HK is likely to follow the trend and enjoy the beneﬁts of a smart

buildings. On-site CHP/tri-generation is the bridging technology from turbine combustion to

grid with its two-way ﬂow of information and electricity. The smart grid is designed to accept

electro-chemical fuel cells. Intense international research is ongoing to reduce the cost of

electricity from diverse energy generators from conventional plants to renewable energy

fuel cells and realise their potential for reducing carbon emissions.

installations and use business equipment and domestic appliances as load modiﬁers. The batteries of electric vehicles (EVs) parked in basements and powered from PV and wind

Over the next 25 years,

installations are viewed as integral to this diversiﬁed energy model of the future.

it is envisaged that the bio-chemical era will be well underway and new materials and fuels will be grown rather than mined. Second-generation biofuels developed from food waste or food-crop residue and hydrogen grown from algae will be the renewable fuel sources. Organic photovoltaic technology will be a common characteristic of building exteriors ensuring steady power generation through the hours of daylight since the technology mimics photosynthesis to generate an electro-chemical process from light. White organic LEDs will provide artiﬁcial light powered by a low energy input at an extremely low cost.

Image courtesy of Austin Energy, Texas USA According to respected researchers, the technologies already exist to keep the global In HK, buildings themselves will be energy monitored and managed in dynamic systems

temperature rise within 2 degrees Centigrade. What is missing are the policy and

that constantly respond and anticipate the changing needs but above all are capable of

programmes. China has given its pledge and HK must act. This research highlights

taking over the “turn off/turn down” behaviour which humans appear reluctant to exhibit.

the potential of building retrofits to reduce radically energy use, with inherent business

Altogether, applying a range of conservation strategies was assessed as providing a

opportunities for the real estate, ﬁnancial and utilities sectors in a region already alert to the

minimum of 44% energy/CO2 reductions.

low-carbon economy. July/August 2010 • Vol 25 • No 7

LIFESTYLE

Returning Safely to Sports After the Summer Holidays By Janice Morton, Physiotherapy Director at Sportsperformance and Senior Partner at Byrne & Hickman Physiotherapists

Summer’s

over (or so they tell us, but the temperature says otherwise) and

If you haven’t previously been plagued by injury, it’s still important to improve your ﬁtness both

it’s back to work and back to sport.

muscular and cardiovascular before returning to sports after a long and rather sedentary break.

Having rested over the summer and eaten and drunk too much, your body has become de-

Get back into a regular routine of strengthening and ﬂexibility work remembering to aim

conditioned and in a vulnerable state for return to sport. Muscles are ﬂabbier, you’ve put on

for muscle balance, strengthening muscle groups in a balanced way so that one group of

weight and jogging leaves you gasping. Lying on a sun-lounger, a cool beer in your hand

muscles is not stronger than its opposing group (e.g. quads on the front of the thigh and

was great, but now it’s time to get ﬁt for your return to sports and burn off some of those

hamstrings on the back). Get on the static bike, the treadmill etc and gradually build up your

calories if you don’t want to injure yourself in the ﬁrst game of the season.

cardio-respiratory ﬁtness. Do some sports-speciﬁc exercises and agility drills if your chosen sport requires sudden bursts of speed, stop-starts and changes of direction.

If you’ve previously suffered from recurrent injuries, seeing a sports physiotherapist sports physiotherapists for a biomechanical assessment may identify underlying causative factors which should be dealt with before you start playing.

Warm up – is it necessary? When you do start playing, it’s boiling hot outside, with 90% humidity, you’re sweating like a pig and your coach says you need to warm up. Is he mad?

Flexibility, muscle balance, core stability, good body biomechanics and cardiovascular ﬁtness are the keys to safe resumption of sporting activity.

I’m afraid the answer is a resounding “NO” because you DO need to warm-up, however hot you are! Do remember, however, that heat exhaustion is potentially dangerous, so drink

So what are biomechanical assessments?

plenty of ﬂuids before you play in hot weather.

Much depends on your sport and the problems you’ve had previously. Assessments are sport speciﬁc, aiming to uncover reasons for your injuries.

There has long been debate over the value of stretching as part of a warm-up routine, and it has generally been concluded, that static stretching has little value in immediate pre-

Examples of this are:

participation warm- up whereas dynamic stretching is helpful in the prevention of injury (high

•

knee walk, high knee skips, sprints etc).

Computer-aided video running assessments and gait analysis

•

Golf specific fitness and movement

Warm up should consist of:

assessments and treatment: Aimed at

•

Dynamic movement centred activity (side-steps, star jumps etc)

prevention of injury and improvement of

•

Some form of sports speciﬁc activity such as a series of sprinting or agility drills followed

technique, by identifying and addressing

by a short jog, with no break in between drills (movement chains)

problem areas, this assessment can include

•

4-5 different movement chains taking a total of 5-10 minutes

video-aided computer and force-plate technology and real-time ultrasound followed

Running assessment

by speciﬁc ﬁtness training

body control, and efﬁcient sports speciﬁc agility. •

Core stability assessments and training designed to correct underlying muscle and postural imbalance, using real-time ultrasound and clinical Pilates •

VO2 Max testing is an accurate way to test overall cardiorespiratory ﬁtness, leading

Core stability assessment using real-time ultrasound

www.brit cha m.c o m

Warming down After intense exercise, it’s a good idea to bring down the temperature of the muscle tissue gradually allowing the ﬁbres to return to their pre-exercise condition (including your heart muscles), so going for a swim or a gentle jog is helpful in preventing post- exercise muscle soreness. A few static stretches of the muscles most used, while not thought to be beneﬁcial as part of a warmup routine are, however, considered a useful part of warm-down.

to a customised optimal training programme

VO2 Max testing

This should be an integral part of a training session, contributing to balance, core strength,

So burn off those calories, get ﬁt and ﬂexible and get back into your sports safely!

FOOTBALL

The Jones Lang LaSalle 5-a-side Corporate Football Tournament 2010 Tuesday, 1st June saw the return of the annual YNetwork Corporate 5-aside football tournament held at Hong Kong Football Club. This year 16 teams were involved in a nail-biting series of matches with various levels of ability on show to keep spectators entertained throughout the evening. Congratulations must go to Colliers who managed to fend off Kadoorie to take home the plate, and in the cup competition, it was Crown Worldwide Group that claimed the honours after a hotly contested ﬁnal with Hays. After the football, players and supporters enjoyed a well deserved drink and dinner buffet put on by the Hong Kong Football Club to celebrate or commiserate their performance. We would like to extend a huge thank you to all the players and supporters that attended this year. The British Chamber sincerely appreciates your continued support for this event which has now become a favourite in the Ynetwork calendar. Also, we would not be able to continue this hugely popular event without the support of our sponsors Jones Lang LaSalle, so a huge thank you to them for their fantastic backing of this event over the last six years.

Thank you again and we look forward to seeing you next year. For more information about YNetwork events, please contact Lucy Jenkins : lucy@bricham.com

July/August 2010 • Vol 25 • No 7

MEMBER BENEFIT

Member Discounts Don’t miss out on NEW discounts exclusive to British Chamber members! For more information on the fantastic deals that these companies are offering, check out www.britcham.com/memberdiscount

Accor

Dot Cod

Accor would like to extend a 5% discount throughout

After ten years, DotCod Seafood Restaurant & Oyster Bar is

its hotels to British Chamber members: Away on

regarded as the number one seafood dining establishment

Business (AOB) Programme – offers fantastic worldwide

in town. Show your membership card and you will receive

accommodation beneﬁts for your organisation. Applies to

a 10% discount from your dining bill at Dot Cod

reservations at over 1,300 Soﬁtel, Lucien Barrière, Novotel and Mercure hotels worldwide

Grand Hyatt Located on the 11th ﬂoor of Grand Hyatt Hong Kong,

AGS Four Winds

The Grill offers an exceptional dining option to guests

AGS Four Winds International Movers Ltd specialises in

who like to dine out-of-doors next to the pool and

door-to-door relocation and the storage of household and

harbour on ﬁne days. From 1 January until 30 December

personal effects. They offer a complete, single relocation

2010, you are entitled to 15% discount on food and

solution for local, national and international moves, from

beverage at The Grill on presentation of your BritCham

and to anywhere in the world. They are offering a 10%

membership card

discount and a complimentary limousine to take you to the airport on departure!

Hyatt Regency Located in the heart of Tsim Sha Tsui shopping and

Andara

entertainment distrct, Hyatt Regency Hong Kong, Tsim

Andara offers the piinnacle of lush living in Phuket located

Sha Tsui sits atop the world’s ﬁrst Art Mall in a landmark

on a gentle hill rising from the Andaman Sea on the

prestigious retail and residential complex, K11. British

upscale West coast of the island. Andara is offering one

Chamber Members are eligible for a 10% dining discount

free bonus night for every three paid nights in an Andara

at the Hyatt Regency Hong Kong’s renowned restaurants

Pool Suite and a variety of other discounts.

ipac Avis

Sheila Dickinson, Senior Vice President at ipac and the

As a member of the British Chamber of Commerce you

company representative of BritCham, was named Hong

can receive up to 20% discount off standard rates on your

Kong’s Best Financial Planner of the Year 2008 at the

car rental booking.

IFPHK/SCMP Financial Planner Awards 2008. With more than 30 years of experience in financial planning, Sheila

Berry Bros and Rudd Berry Bros. & Rudd is Britain’s oldest wine and spirit merchant and has been trading for over 300 years from the same premises in St. Jame’s Street in London. Show your

specialises in providing comprehensive ﬁnancial planning advice and wealth management solutions for expats. ipac is offering a complimentary 45-minute private consultation with Sheila to all Chamber members

membership card and receive a 10% discount on all retail prices from our Hong Kong wine shop in The Lee Gardens,

The Langham

Causeway Bay. Members may also enjoy invitations to free

The Langham, Hong Kong is offering 10% off its Full Day

tastings and other wine events during the promotional period

Meeting package. This price includes: three-course lunch, two coffee breaks, complimentary use of AV equipment

Bowers & Wilkins

plus much more

B&W makes the world's most advanced home theatre and hi-ﬁ stereo speakers, and are used by Abbey Road

Marketsensus

Studios and music lovers everywhere. B&W are offering an

To truly understand the unique Asian dynamics takes

extra 10% off on all listed price items.

research and deep understanding. Marketsensus is Hong Kong’s only Market Research aggregation company.

British Airways As a member, you can enjoy our exclusive offer to London/ UK and Europe: 5% discount on British Airways fare. Offer valid for travel before 31 March 2011

www.brit cha m.c o m

Alongside their industry experts, they offer over 70,000 research reports which can be downloaded from www. marketsensus.com. Marketsensus is offering 10% off all market research reports

Le Meridien Cyberport

Pure Fitness

Chic and pulsing with an urban cool is Hong Kong

Pure Fitness and Pure Yoga offer British Chamber members

Southside’s hip hotel Le Méridien Cyberport – where

a special Corporate Wellness Programme. Feel great,

to check in is to chill out. Dramatic in décor and chic in

work better, live well – start today!

design, the hotel is a 170-roomed haven of effortlessly stylish and cool design, cutting edge technology with upscale amenities. Le Méridien Cyberport is offering a range of discounts to British Chamber Members in 2010

Renaissance Located in the heart of one of the most spectacular cities in Asia, the Renaisscorce Harbour View Hotel Hong Kong is right at the center of it all! British Chamber members can

The Mira

receive a 10% discount for all day dining in Scala Restaurant,

The Mira Hong Kong is a contemporary urban retreat

Dynasty Restaurant and Café Renaissance, plus a glass

in the heart of the city with 492 guestrooms and suites.

of red wine for every patron upon consumption in Scala

Designer interiors, in-room “My Mobile” phones and free

Restaurant, Dynasty Restaurant and Café Renaissance

WiFi deﬁne each luxurious stay. MiraSpa, plus ﬁve unique dining concepts, add to the exceptional experience. The Mira is offering members fantastic discounts at its superb facilities

Virgin Atlantic Virgin Atlantic Airways once again announces a special offer exclusively to members of the British Chamber of Commerce. This offer is valid for travel commencing

Lloyds TSB

between 1 July 2010 to 30 June 2011

Lloyds TSB Bank in Asia is a leader in the provision of international mortgages for individuals buying property outside their country of residence and are offering a 50% reduction on arrangement fees for international mortgages

VisitBritain VisitBritain, Britain’s national tourist ofﬁce, launched a new service for visitors to the UK on 19 July. The online shop sells a wide range of tourism products so visitors can get the most out of their holiday in Britain

MEMBER DISCOUNTS To enjoy exclusive member discounts please log onto www.britcham.com, log in and click on membership discounts. If you have forgotten your login details please email info@britcham.com to request them. Accor

Dot Cod

Marketsensus

AGS Four Winds International Movers Ltd

Grand Hyatt

The Mira Hong Kong

Andara

Hyatt Regency

Pure Fitness

Avis

IPAC

Renaissance Harbour View Hotel Hong Kong

B&W Group Asia Limited

The Langham Hong Kong

Virgin Atlantic

Berry Bros & Rudd

Le Meridien Cyberport

Visit Britain

British Airways

Lloyds TSB Paciﬁc Limited

For up to date event listings and information, check out www.britcham.com July/August 2010 • Vol 25 • No 7

LIFESTYLE

e m o H f o e st

A Ta To

most of us Brits, Marks & Spencer holds a unique place in our

hearts. The brand summons up a host of nostalgic memories, from undies shopping as a child to high pressure lunch stops as a young executive desperate to get back to the desk. Above all, I wonder if there is anyone in the UK who hasn’t ended up raiding the Marks & Spencer ready to eat selection half an hour before the guests were due. With such versatility, it’s no wonder Marks and Spencer is on its way to becoming a Hong Kong institution too. On 11 May 2010, Marks and Spencer opened its first standalone food store in Wanchai. This news was greeted with great excitement across Hong Kong not least by the staff at the Britcham office. Trailblazers were dispatched and came back laden with pots of chocolate nibbles, bottles of wine and some of those moreish fair-trade biscuits. As a result, I was looking forward to my personal tour of the new shop very much, and I was not disappointed. Although a small store relative to their space in central, and tiny relative to some of the M&S superstores that can be found in the UK, this little shop is a treasure trove of delicious treats and includes, for the first time in Hong Kong, products from their fresh range.

The new M&S manages to find the balance between quick and easy lunch stop and useful pop-in-on-your-way-home supermarket perfectly. For those who work nearby and fancy something tasty and relatively inexpensive for lunch, they have a hot food-to-go counter serving delicious fair-trade, organic coffee and hot panini, toasties and melts – all with fresh ingredients – as well as a great selection of sandwiches, salads, drinks and yoghurts for those who prefer the lighter option. For the homeward bound, the range is even more exciting. This store has all the luxurious products you might find in one of the posh central supermarkets but at a more reasonable price and, dare I say it, with less cause for moral anguish as it comes with Marks and Spencer’s commitment to sustainable and decent farming methods. The jewel in the M&S crown has got to be their deli selection. The range of British and European cheeses is exceptional (try the award winning Cornish cheddar for that knock your head off taste you’ve been missing all these years) with all the classics: stilton, mozzarella, parmesan, as well as gorgonzola, jarlsberg and halloumi if you fancy something a little different. Similarly, if you like cold meats, check out their delicious antipasti ranges for some melt-in-your-mouth flavour. In fact, all the ranges are full of quality products including a reasonable range of wines (although not quite as big as their central store) and a fantastic (believe me, I’ve tried it) fresh pastry selection. Simeon Piasecki, Marks & Spencer Regional Managing Director, Asia said: “Hong Kong is an important market for Marks & Spencer. We’ve been trading here for 29 years, and have a loyal and supportive customer base. We’ve long sold grocery products here and the successful Food to Go trial has whetted our customers’ appetite and led to an increased demand for fresh Marks & Spencer food. “We’re delighted to be satisfying this with a standalone food store. It’s a fantastic space, in a great location and we’ve applied an exciting new look to the store with a simple yet special white and green décor that really highlights the great quality of our food. We hope that our customers will be surprised and excited by the new store and the wider range of fresh food on offer.” But don’t take his word for it. My advice to you would be to take a look. If you’re lucky enough to work in Wanchai, just pop down over lunch and pick up a snack. And of course, if you’re planning a summer party and happen to leave the planning to the last minute, you know what to do. For the undies, though, you’ll have to go to Central.

Marks & Spencer is located at Shop B, G/F, 88 Gloucester Road, Wanchai. You can also enjoy Marks & Spencer’s new chilled food selection at their ﬂagship store at Central Tower.

www.brit cha m.c o m

NEW APPOINTMENTS

Ambition has recently appointed Matthew Hill

Commander for the Order of the Bath. In 2006, Sir Robert was appointed Deputy

to take up the post of Managing Director of its

Commanding General of Coalition Forces in Iraq and was awarded the US Legion of

Hong Kong business. The appointment comes as

Merit for his role.

Andrea Williams, its current Hong Kong chief will be moving to the UK to assume a newly created role within the company.

Matthew Hill

“I am delighted to be joining McKinney Rogers as Executive Chairman,” said Sir Robert. “The ﬁrm has experienced rapid growth over the past decade, particularly in the US, where it advises such businesses as Bacardi and Wal-Mart at the highest

Matthew has over 12 years of experience in the

levels. With a tentative recovery underway in western markets and huge opportunity

recruitment industry and started his recruitment

in developing countries, I am very much looking forward to helping the ﬁrm, and its

career in the UK with Ambition’s London office.

major multinational clients, seize the exciting opportunities that exist”.

He will have oversight for Ambition’s highly successful Hong Kong ofﬁce and will look to build on its 10-year history in the territory and its ﬁrst class reputation within the Kreab Gavin Anderson, the specialist financial,

Banking & Financial Services, Accounting & Finance, and Sales & Marketing areas.

corporate and public affairs communications

Matthew will be central to the development of the Hong Kong team whilst supporting

ﬁrm, today announced the appointment of Kevin

the decision making for strategic growth plans and objectives for the region. In

Smith as a Senior Advisor to the ﬁrm in Asia.

addition to his general management responsibilities, he will also handle senior ﬁnance recruitment assignments.

With a career spanning more than twenty years, Kevin has previously held senior management

Guy Day, Managing Director, Asia & UK commented, “Ambition positively encourages

roles at Foreign & Colonial in London, and

international career development and Matthew’s appointment makes a strong

Standard Life Investments in both Edinburgh

statement to our people. I have no doubt that he will add to our success”

and Hong Kong. Between 2004 and 2007 he

Kevin Smith

was appointed Global Chief Investment Officer,

Jones Lang LaSalle has announced the

Equities at ABN AMRO Asset Management in

appointment of Dr Megan Walters as head of

London, with responsibility for all equity, listed property and alternative investments,

research for Asia Pacific Capital Markets. Megan

managing in excess of ɾ75bn.

joined Jones Lang LaSalle from Cushman and

Richard Barton, Managing Partner, Asia (ex Japan) at Kreab Gavin Anderson, said, “We

Wakeﬁeld where she held the position of Head of

are delighted that we will be able to draw on Kevin’s knowledge and experience in his

Research for Asia Pacific. Based in Singapore,

capacity as a Senior Advisor. Kevin has extensive business development, regulatory,

she will be responsible for writing and presenting

investment management and governance experience in Asia. We will bring this and

articles and reports on the economics of real estate

his many other skills to Kreab Gavin Anderson’s asset management, investor relations

markets and capital ﬂows to assist investors. Megan has been an active member of the Royal Institution of Chartered Surveyors (RICS) for 20

and ﬁnancial services clients.”

Dr Megan Walters

years and is on the global Governing Council. She previously worked in property development, the private ﬁnance industry on schools and hospitals and for property consultants in the UK and Singapore, as well as spending several years in Hong Kong teaching masters degree students on international courses.

The Ritz-Carlton Hotel Company L.L.C. has announced the appointment of Bonnie Kwok to the position of Director of Public Relations at The Ritz-Carlton, Hong Kong. Bonnie will work with Ivy Kwan, Director of Sales & Marketing, and the

Alastair Hughes, Chief Executive Officer of Jones Lang LaSalle for Asia Pacific comments, “We are delighted that Megan has joined our Capital Markets team. She

team to open The Ritz-Carlton, Hong Kong in late 2010.

is extremely well respected in the market and her skills will be a great asset to our continued expansion in the region.”

Bonnie has an MA in English Studies from The University of Hong Kong. Bringing 10 years of public relations experience to The Ritz-Carlton,

Sir Robert Fry, the former Deputy Commanding

Hong Kong, she was most recently with The

General of coalition forces during the Iraq war has

Peninsula Hong Kong.

been appointed as the new Executive Chairman of global business performance advisers McKinney Rogers International Ltd.

www.brit cha m.c o m

Public Relations,” explained Bonnie. “The opening of the tallest hotel in the world will not only be a momentous breakthrough in the industry, it will also signify a signiﬁcant milestone for The Ritz-Carlton and a long-awaited return of the legendary brand to

current position as Regional EMEA Vice President

Hong Kong. Being born and raised in Hong Kong, I am genuinely proud to be a part

of HP Defence & Security. His career accolades

of this amazing mission.”

G e n e r a l o f t h e R o y a l M a r i n e s , D i re c t o r o f Operations for the Ministry of Defence and Knight

“I am excited to be able to open The Ritz-Carlton, Hong Kong as the Director of

Sir Robert’s appointment comes as he leaves his

include appointments such as Commandant

Sir Robert Fry

Bonnie Kwok

NEWS

Investors and analysts prefer mixed measurement model of financial instrument reporting A survey conducted by PricewaterhouseCoopers to gain a better understanding of perspectives on accounting and reporting for financial instruments has found that investors and analysts prefer a mixed measurement model of financial instrument reporting. After calls from politicians and regulators to simplify and merge financial instrument reporting globally, the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) have been divided on which model should be adopted. While the IASB seeks to retain a mixed measurement model, with some financial instruments measured at fair value and others at amortised cost, the FASB is proposing that virtually all financial instruments are reported at fair value. Surveying a geographically diverse sample of 62 investors and analysts, it was found that some consistent trends were noted. “The survey tells us that a majority of respondents favour a mixed measurement model, similar to that required by IFRS, over a fair value approach as currently proposed for US GAAP. They believe that the use of amortised cost for some financial instruments better reflects the underlying business and economic reasons for holding those instruments,” explained Ian Farrar, PwC Partner for Accounting Consulting Services.

Employees in Hong Kong and Seoul face similar challenges in work-life balance After conducting its latest work-life balance study, leading non-profit organisation Community Business has revealed that employees in Hong Kong and Seoul face similar challenges when it comes to work-life balance. This year marks the first time that Community Business has conducted the Standard Chartered State of Work-Life Balance in Seoul Survey, detailing the state of work-life balance in Seoul. Working with local research partner KAIST Business School in Seoul, random telephone interviews with 1000 full time workers were conducted in February 2010. The methodology was consistent with that used to produce the annual State of Work-Life Balance in Hong Kong Survey, which has been conducted by Community Business every year since 2006. This allows for direct comparisons between the state of work-life balance in these two key Asian cities. In both cities, over three-quarters of employees report that they face some kind of negative impact because of poor work-life balance, approximately three out of ten employees would consider leaving their current job for a better work-life balance, and financial well-being / wealth management is cited as the most difficult work-life balance challenge.

Job seekers pack their bags for the right opportunity According to recruitment expert Hays, there is an increasing number of skilled professionals relocating in order to secure the next step in their career. For many professionals, relocation helps to realise personal career ambitions that cannot be achieved locally. This was especially true during the recent economic downturn, during which people were more flexible than ever in the locations where they would consider working. However, despite signs of recovery in the global economy, people are still willing to relocate in order to revitalise and advance their career. Relocation has not only benefited jobseekers. As the candidate market tightens in the face of rising job numbers, it is inevitable that widespread skills shortages will re-emerge and candidate attraction will become a significant focus for employers in the war for talent. According to Emma Chamock, Regional Director of Hays in Hong Kong and China, most failed relocations are the result of poor preparation. “Research into the lifestyle, climate, accommodation and recreational activities is just as important as researching the employment market,” Chamock said.

Invest Hong Kong marks 2000th investment project milestone Invest Hong Kong, the department tasked with attracting foreign direct investment into Hong Kong, has recently celebrated the completion of its 2000th investment project. The 2000th project was for Start Asia, an integrated branding consultancy from the United Kingdom. Commemorating the milestone, The Secretary for Commerce and Economic Development, Rita Lau, presented a certiﬁcate to Start Asia's Managing Director, Jonathan Cummings, to congratulate the company on its successful set up in Hong Kong. Cummings said, "We are honoured to be the 2000th project of Invest Hong Kong. Asia has always been on the radar, but we had to tackle it differently because it is a complex market in terms of language and culture with a huge span of market maturity.” Director-General of Investment Promotion at Invest Hong Kong, Mr Simon Galpin, said, "It is encouraging that our department has assisted 2,000 overseas, Mainland and Taiwanese companies in setting up or expanding their business operations in Hong Kong in just 10 years. This marks a signiﬁcant milestone for the development of Invest Hong Kong since its establishment in July 2000." July/August 2010 • Vol 25 • No 7

NEW MEMBERS Chairs of Specialist Committees Business Policy Unit Tim Peirson-Smith Executive Counsel China David Watt DTZ Construction Derek Smyth Gammon Construction Education Stephen Eno Baker & McKenzie Environment Anne Kerr Mott MacDonald Hong Kong Limited Financial Industry Group Debbie Annells Azure Tax Consulting HR Advisory Group Brian Renwick Boyden Search Global Executive ICT Kevin Taylor BT Marketing & Communications Adam O’Conor Ogilvy & Mather Group Real Estate Jeremy Sheldon Jones Lang LaSalle Scottish Business Group Dr. Jim Walker Asianomics Limited Logistics Mark Millar M Power Associates Small & Medium Enterprises Kate Kelly Women in Business Lisa Bowman DG3 Asia Limited YNetwork Fiona Foxon Business Angel Programme Neil Orvay Asia Spa & Wellness Limited Tim Hay-Edie Simple Pilot Software

YNETWORK Barclays Capital Prue Larcombe AVP Tel 2903 2285 prue.larcombe@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Rose Lay VP Tel 2903 2776 rose.lay@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Mary Tse Analyst Tel 2903 2329 mary.tse@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Annis Leung AVP Tel 2903 4275 annis.leung@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Daisy Ma Analyst Tel 2903 2876 daisy.ma@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Cedrik Le Juge AVP Tel 2903 2215 cedrik.lejuge@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Tik Keung Analyst Tel 2903 3160 tik.keung@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Jacky Yeung AVP Tel 2903 2231 jacky.ckyeung@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Christine Lim Analyst Tel 2903 3137 christine.lim2@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Josephine Yuen AVP Tel 2903 2221 josephine.yuen@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Barclays Capital Cindy Yam Analyst Tel 2903 4250 cindy.yam@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

Lloyds TSB Bank Plc Katie O'Shea Business Development Manager Tel 2810 1085 katieoshea@lloydstsb.com.hk 26/F, Oxford House, 979 King's Road, Quarry Bay, Hong Kong Banking

Barclays Capital Andrew Fung Analyst Tel 2903 3150 andrew.fung2@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Samantha Lee Analyst Tel 2903 4270 samantha.lee@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Ruby Cui Graduate Tel 2903 3518 ruby.cui@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Nicole Tse AVP Tel 2903 3618 nicole.tse@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Eileen Teo Analyst Tel 2903 2982 eileen.teo@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Erica Wong Analyst Tel 2903 2303 erica.w.wong@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking Barclays Capital Robert Smith AVP Tel 2903 2303 robert.smith2@barcap.com 42/F, Citibank Tower, 3 Garden Road, Central, Hong Kong Banking

www.brit cha m.c o m

ADDITIONAL

CORPORATE McKinney Rogers International Ltd Ben Fouracre Senior Account Manager Asia Paciﬁc Tel +81 35211 4475 Fax +81 35211 4476 ben.fouracre@mckinneyrogers.com S u i t e s 4 3 0 5 - 6 , 4 3 / F O f f i c e To w e r, Convention Plaza, 1 Harbour Road, Wanchai,Hong Kong Consultancy Outlets China Limited Zhang Yi Vice President Tel 3905 3193 info@oom.com.hk Rm 5708, 57/F, The Centre, 99 Queen's Road, Central, Hong Kong Property / Real Estate Services Deutsche Bank Matthew Press Managing Director Tel 2203 6172 Fax 2203 6961 matt.press@db.com 56/F, Cheung Kong Center, 2 Queen's Road Central, Hong Kong Diageo RTD Hong Kong Ltd David Bage Commercial Director (Hong Kong & Macau) Tel 2531 7188 Fax 2519 7100 david.bage@diageo.com Units 311-312, 3/F, Biotech Centre 2, No.11 Science Park West Avenue Phase 2, HK Science Park, Shatin, New Territories, Hong Kong Wines & Spirits

INDIVIDUAL Ray Wyand Tel 9039 0547 ray.wyand@amiasberman.com 15a, Block 3, The Merton, 8 Davis Street, Kennedy Town, Hong Kong

Baker & McKenzie David Fleming Managing Partner Tel 2846 1975 Fax 2845 0476 david.fleming@bakermckenzie.com 14/F, Hutchison House, 10 Harcourt Road, Central, Hong Kong Legal Analogue Holdings Ltd John Middlemiss Managing Director Tel 2565 3473 Fax 2565 7638 johnmiddlemiss@anlev.com.hk 17/F, Java Commercial Centre, 128 Java Road, North Point, Hong Kong Electronics BT Jose Reboredo Global Account Director Tel 2532 3550 Fax 2810 0164 jose.reboredo@bt.com Suite 1301, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong Telecommunications BT Robert Edwards Global Account Director Tel 2532 3564 Fax 2810 0164 robert.edwards@bt.com Suite 1301, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong Telecommunications HSBC Mark McCombe Chief Executive Officer Hong Kong Tel 2822 3699 Fax 3409 1900 mark.s.mccombe@hsbc.com.hk HSBC Main Building, 1 Queen's Road Central, Hong Kong Banking IPAC Financial Planning Hong Kong Limited Alison Asome Client Advisor - Vice President Tel 2285 2688 Fax 2285 2899 alison.asome@ipac.com.hk Suite 5101-03 & 5113, 51/F, The Centre, 99 Queen's Road, Central, Hong Kong Financial Services KPMG Alison Simpson Partner, Advisory Tel 2140 2248 Fax 2973 6616 alison.simpson@kpmg.com.hk 8/F, Prince's Building, 10 Chater Road, Central, Hong Kong Accounting KPMG Karan Talwar Senior Manager, Audit Tel 2978 8115 Fax 2845 2588 karan.talwar@kpmg.com.hk 8/F, Prince's Building, 10 Chater Road, Central, Hong Kong Accounting Mace Limited Tom Locking Business Development - Asia Tel 2147 3505 Fax 2868 9720 tom.locking@macegroup.com Room 2203, 22/F, Tower 1, Lippo Centre, 89 Queensway, Hong Kong Construction

OVERSEAS Beyond Analysis Paul Alexander Chief Executive Ofﬁcer Tel +44 208 392 8252 +44 208 392 8259 23 Tideway Yard, 125 Mortlake High Street, Barnes, London, SW14 8SN, United Kingdom Marketing Consultants Andara Resort & Villas Andrew Whitaker General Manager Tel +66 87 279 6996 andrew@andaraphuket.com 15 Moo 6, Layi Naka Lay Road, Kamala Sub-district, Kathu, Phuket, 83150, Thailand Hospitality

SHAKEN NOT STIRRED

Shaken Not Stirred May 2010 Gary Williams (De Vere & Partners), Frederik Van Schalkwyk (Sovereign), Elise von Stolk (Santa Fe Relocation Services)

Piers Davenport (British Consulate-General Hong Kong), Willem Hoogland (Sovereign)

Ian Smith (ThyssenKrupp Elevator), Johanna Nordell (Imagination), Jack Cumming (Adelaide Cellardoor)

Vlad Marinescu (Mattel, Inc.), Jessica Marinescu (In The Black), Robert Ferguson (The Economist Group)

Ray McGuire, Chelsey Cadham (PPP Company Limited)

Julia Skan, David Dodwell (Strategic Access)

Mobina F. Mohsin, Priska M. Burkard, Hilary Thomas (The British Chamber of Commerce in Hong Kong), Andrea Cassandro (IP Global)

Christopher Wilkinson (AGS Four Winds), Robert Ferguson (The Economist Group), Mark Millar (MPower Associates)

Mark Millar (MPower Associates), Elise von Stolk (Santa Fe Relocation Services)

Herman Yong (One Consulting Services), Jessica Lam (Imagination), David Lai (Hong Kong Government)

Malcolm Pratt (Unigroup Worldwide), Christopher Wilkinson (AGS Four Winds)

Humphrey Wilson, Christopher Wilkinson (AGS Four Winds), Mark Millar (MPower Associates)

Paul Gratton (DTZ), Jessica Lam (Imagination), Paul Ogden (DTZ)

Shaken Not Stirred

Michael Saunders (Europa), Peter Duigan (Production Partners), Dovenia Chow (The British Chamber of Commerce in Hong Kong)

June 2010 Lucy Jenkins (The British Chamber of Commerce in Hong Kong), Sian Knight (Holman Fenwick Willan)

Charlene Liu (The British Chamber of Commerce in Hong Kong), Eva Wan (B&W Group)

Erica Fung (B&W Group), David Burton

Bill Wheeler (B&W Group), Hilary Thomas (The British Chamber of Commerce in Hong Kong)

Lucy Jenkins (The British Chamber of Commerce in Hong Kong), Sharon Chu (B&W Group), Erica Fung (B&W Group), Joanna Wong (Gemini), Clare Furness (Gemini) Michael Saunders (Europa), Christopher Wilkinson (AGS Four Winds)

Lars Hundborg (B&W Group), Christopher Hammerbeck (The British Chamber of Commerce in Hong Kong)

Gary Wilson (De Vere & Partners), Malcolm Pratt (Unigroup Worldwide), Peter Slack (Chun Wo Railway Engineering Limited)

Sharon Chu (B&W Group), David Burton Sharon Chu (B&W Group), Eva Wan (B&W Group), Erica Fung (B&W Group)

Peter Slack (Chun Wo Railway Engineering Limited), Christopher Wilkinson (AGS Four Winds)

Dovenia Chow (The British Chamber of Commerce in Hong Kong), Nick Seddon (Eversheds), Neil Chowings (Work Group Limited), Becky Roberts (The British Chamber of Commerce in Hong Kong)

Neil Chowings (Work Group Limited), Lars Hundborg (B&W Group) July/August 2010 • Vol 25 • No 7