FAMILY OFFICE INVESTOR n. 2 by Investor Media Monaco Sarl

FAMILY OFFICE INVESTOR

ISSUE 2

MASTHEAD

An investment in knowledge pays the best interest. © Unsplash

- BENJAMIN FRANKLIN

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CONTENTS

CONTENTS Clockwise from bottom left: Courtesy of 39; © Christie’s; Courtesy of BlockEx; ©Steve Bower; Courtesy of Edmiston; Courtesy of Icon Capital Reserve; ©Cyrille George Jerusalmi; Courtesy of Silver Arrows Marine; Courtesy of Star Alliance

FAMILY OFFICE INVESTOR 2

Family Office Investor

Interview with Her Excellency Mrs Genta Monaco

Edmiston - The Business of Yachting Yacht Management

Cavendish Family Office Blockchain & Cryptocurrencies Asset management

BlockEx Asset management

Icon Capital Reserve - ICO’s and the Bitcoin Bubble: What hapens Next? Asset management

In Conversation with Ross Beattie, owner of Thirty Nine. Lifestyle

In Conversation with Sebastien Besson, CEO of Armand De Brignac Lifestyle

Gran Turismo Experience Lifestyle

Bohemian Glass Art Art

The Rise of Chinese Art Art

Star Alliance Luxury tavel

Team Brittannia Intrepid adventure

The Prince Albert II of Monaco Foundation

HER EXCELLENCY MRS GENTA

THE BUSINESS OF MONACO

Port Hercule with the iconic Yacht de Club de Monaco designed by Lord Norman Foster. Middle row from left to right: Morning breaks in Monaco; detail of the Yacht

Club de Monaco and the Opera.

Family Office Investor

The two harbours of Monaco together have a total capacity of 975 berths. Pictured left: Port de Fontvieille.

We had a chance to ask a few questions to Her Excellency Mrs Genta, ambassador of Monaco to the UK, about why British businesses should consider a move to Monaco. In 2011, Mrs. Evelyne Genta became Ambassador of the Principality of Monaco to the Court of St. James’s to the United Kingdom which promotes all facets of the Principality: economy and finance, culture, humanitarian and environmental projects. Central to her core ambitions is to change any misconceptions people may have about the Principality: ‘Many think Monaco is a place where rich old people go to hide their money’, says Mrs Genta. ‘That’s not true, but that old image has stuck like glue and we have to change it. Monaco is a wonderful place to live but is also a transparent regulated country.’ She is also President of the UK Branch of the Prince Albert II of Monaco Foundation which is famous for its dedicated work for the protection of the environment.

(IMU) just as many Monegasques come and study in British Universities all over the country What are the growing benefits for British citizens living in Monaco? When British people consider moving to Monaco they are more than anything choosing a lifestyle. Living in Monaco is not only about tax. Some people chose this option for their quality of life and this is why we are seeing more and more families choosing Monaco to live. They enjoy obviously the weather and the security. But they also know that their children will receive a very good education with different options to choose from, that the health service is of excellent quality and that they will be living in a totally international place with over 120 nationalities present in the Principality.

There are a lot of ties on different levels. • For instance cultural; not so long ago the ballet of the Royal Opera House performed in Monaco and the Monte-Carlo Ballet has performed both at the Coliseum and at the Royal Opera House in conjunction with the Bolshoi. • On the political level both countries are very involved in the fight against global warming and in the defence of the environment. This means that Monaco sustains ongoing projects with such universities as Edinburgh with a scholarship for training on climate-change management; Cambridge supporting the Cambridge Conservation Initiative; or again Oxford with a project on satellite monitoring of high seas fisheries, etc. Monaco is also linked to museums where we support some projects such as the Natural History Museum research to save endangered plants. Through His Foundation Prince Albert works on the same problems as the Prince of Wales Trust and both Princes announced an initiative against plastics in the oceans last month in Malta. • Monaco is also an active member of many international institutions such as the London based IMO. • Finally the Principality welcomes a large number of British students at the International University

Monaco, whilst the second smallest country in the world is very international and cosmopolitan with over 120 nationalities represented. It offers an extensive & accessible business network on just 2km2. The British population in the Principality numbers around 3 000 residents according to the IMSEE (national Institute of Statistics and Economic Studies) which represents the 3rd largest foreign population after the French and Italian but ahead of the Swiss and the Belgians. For reference, Monegasques number just over 9000 people. English is moreover the 2nd most used language after French. There is therefore no doubt that the British residents strongly contribute to Monaco’s GDP which was 5.85 billion euros in 2016, with a growth of 3.2% on 2015. Monaco’s economy has 5000 companies of all sizes and from many different sectors which create work for over 52 000 employees. This is in part thanks to the strong entrepreneurship demonstrated by British residents living and working in Monaco. Several of our top companies are indeed headed by British citizens in various sectors.

What are the most prominent political ties between the UK and Monaco and their future developments? Historically, the ties between Monaco and the UK have always been very good. In the last century, British people made the Côte d’Azur what it is today and the British travellers represent nowadays a very large number of the tourists in Monaco

What is the business impact of the British citizens who represent the third largest foreign population of Monaco?

What advice would you give to a British company considering a move to Monaco?

What are your views on the yachting industry with such strong connection with the UK?

They should contact directly Monaco Invest which is a department affiliated to the Monaco Economic Board (www.meb.mc) for a first meeting or a conference call to gather some tailored information.

The yachting industry is booming in Monaco. This is a sector that represents today over 1500 jobs, a €750m turnover with a large part of this revenue coming from brokerage and chartering. Roughly speaking this sector involves 70 companies in the Principality. However the yachting sector is also a strong outlet for very diverse companies which specialise in provisioning, concierge services, ship handling, designers, interior design and fitting, insurance, recruitment and technical material.

Monaco Invest will give some valuable information and connect the British company to the right people and places. It has to be added that this service is provided by the Monaco government and that all information is treated confidentially and advice and help are free of charge. Why consider Monaco? • Monaco is a top business destination and a booming economic hub. • It has a dynamic and stable economy, a balanced and diversified business platform and is very well connected notably with the Nice international airport but also via train and car. • A sustainable model with political stability for over 720 years and a unique quality of life • It is a land of entrepreneurs, strategically located, one that enjoys an exceptional quality of life including security of goods and people as well as data, outstanding healthcare and educational systems and a growing, balanced and diversified economy, coupled of course with political and fiscal stability: a place that connects outstanding business people from all around the world.

The two harbours of Monaco together have a total capacity of 975 berths but there is also a major project ongoing in Ventimiglia, the port that Monaco has just bought and invested in which will enhance capacity by 171 new berths for 30m+ yachts. This also illustrates the strong dynamism of this sector. The companies Edminston, Fraser and Camper & Nicholsons all have significant entities in Monaco and their top management are from the United Kingdom. It should also be noted that out of the 100 largest yachts in the world, a quarter of them are members of the Monaco Yacht Club and are of British origin. It is also worth mentioning that the Yacht Club new building was designed by a British architect, Lord Norman Forster.

EDMISTON

THE BUSINESS OF

YACHTING Family Office Investor looks at the evolving story of Edmiston and how relationship lies at the heart of this company’s success. Edmiston is a specialist in the sale, charter, management and new construction of the largest and most important yachts on the water today, and an integral part of the modern superyacht story. Established in 1996, Edmiston’s pedigree stretches significantly further back. Founder Nicholas Edmiston has been at the forefront of the yachting and brokerage world for some 40 years, leading several of the United Kingdom’s premier marine businesses before striking out alone. Edmiston & Company’s birth may have coincided with a new generation of superyacht owners, but that was not a coincidence. Yachts had been getting bigger and more sophisticated through the 1980s and 1990s, and Nicholas Edmiston was one of the leading players in helping owners move up through the size gears. Bringing together the best designers

and builders, he was instrumental in creating what proved to be a legendary flotilla of yachts. As well as understanding the ambitions of owners, Nicholas also understood that far greater levels of service would be required from the yachting industry. Following the launch of Edmiston’s brokerage business, a yacht management division quickly followed, ensuring that this new generation of yachts would be properly supported and that owners would be able to enjoy them to the fullest. Fast forward to 2018 and the red ‘Spreader’ created by Nicholas’ son, Jamie, is now a feature of yachting meccas around the world. Jamie oversaw a sharp rebranding and marketing strategy in 2001, designed to reach new clients and strengthen Edmiston’s position not only as a leader in the superyacht world, but also in luxury travel. In doing so, Jamie has been responsible for a culture shift across the business, and, arguably the wider industry.

“The yachting business is not about hanging around on yachts on holiday. It’s an occasional by-product – and it’s a nice by-product – but it’s definitely the rarity rather than the norm.” Edmiston today reflects its client base: international, demanding of excellence, and incredibly diverse. The core business of sales, charter and yacht management remains, alongside multiple new build launches and some remarkable refit projects. But Edmiston’s client-focused culture has seen a move towards creating unique experiences to go with the yachts themselves, and an emphasis on that personal touch. Now CEO of Edmiston, Jamie told Family Office Investor, “You have to be prepared to travel quite a lot. Obviously we’re in a globalised world, and you meet a lot of interesting people on the way. But

the yachting business is not about hanging around on yachts on holiday. It’s an occasional by-product – and it’s a nice by-product – but it’s definitely the rarity rather than the norm.” “The thing that has really changed in the last 20 years is that you can now run a business from a yacht in your swimming trunks. With satellite communications you can do it anywhere in the world. But you can still have quality time with your family, go swimming with your children, and then step into a video conference back on board. You have the ability to balance both.”

“The thing that has really changed in the last 20 years is that you can now run a business from a yacht in your swimming trunks.” Understanding these shifts in the clients’ expectations is a key factor in Edmiston’s continued success and their ability to adapt to changing tides. The likes of Instagram and other digital platforms also had a huge impact on the size of their potential audience and how the message of their brand was shared. Challenges will always exist: Hurricane Irma laying waste to popular charter destinations in the Caribbean; the spectre of new international trade deals after Brexit; not to mention the ever-increasing competition in the digital sphere. As Jamie observes: “Digital has arguably made the yachting industry more competitive”. But the client-based relationships at the industry’s core are the strongest sign that it can weather these figurative and literal storms. “What’s still so, so important is the relationship. Though I wouldn’t say it’s going to prevent disruption in the business, relationships are key, trust is key, and we are in a people business.” Despite countless advancements in technology and the way those interactions take place, “it will never replace the ability to make a very complicated deal happen. Or persuade a client to do a deal, because he trusts you. It’s not as easy to replace the human element,” concludes Jamie. www.edmiston.com

Family Office Investor

50m Malahne

99m Madame Gu

Â© Jeff Brown/Bred Media

75 m Eco

CAVENDISH FAMILY OFFICE

BLOCKCHAIN & CRYPTOCURRENCIES

Family Office Investor

Blockchain and cryptocurrencies are currently dominating the media and many discussions in the wealth management community. In this article Mark Estcourt, Founder & CEO of Cavendish Family Office, explores this (relatively) new technology which is believed to be able to revolutionise the way we transact and trade. There are so many people discussing blockchain today that the terminology has become incredibly confusing. It has, in other words, become a madness of markets with everyone talking about it and few understanding it. The only agreement is that this is a shared system, which means that more than one player has to be in the game for a blockchain development to work. There is also the whole issue around the rise in cryptocurrencies which has given the topic an added spice and has led to some interesting comments from the likes of Jamie Damon (CEO of JP Morgan) to call it a “fraud”. I will therefore endeavour to give a high-level overview to the current situation and hopefully prompt an enthusiasm for more information. In other words, I can only scratch at the surface for this article.

What is Blockchain?

Currently, most people use a trusted middleman such as a bank to make a transaction, but blockchain allows consumers and suppliers to connect directly, removing the need for a third party, in a digital format. Using cryptography to keep exchanges secure, blockchain provides a decentralized database, or “digital ledger”, of transactions that everyone on the network can see. This network is essentially

a chain of computers that must all approve an exchange before it can be verified and recorded.

clearing in minutes or even seconds at almost no cost.

By design, blockchains are inherently resistant to modification of the data. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks, which requires collusion of the network majority. The technology can work for almost every type of transaction involving value, including money, goods and property. Its potential uses are almost limitless: from collecting taxes to enabling migrants to send money back to family in countries where banking is difficult.

Other companies are racing to adapt blockchain include UBS, Microsoft, IBM and PwC. The Bank of Canada is also experimenting with the technology. Recently the London Stock Exchange is developing a Blockchain settlement system with the Italian Stock Exchange. Finally, the Royal Mint (aged 1,100 years and going strong) has just launched its own Blockchain and digital currency to purchase gold.

When was this technology “invented?”

Blockchain could also help to reduce fraud The first distributed blockchain was because every transaction would be recorded and conceptualised in 2008 by an anonymous person distributed on a public ledger for anyone to see. (or group – there is a lot of speculation on this) In fact, the use of blockchain is almost unlimited known as Satoshi Nakamoto and implemented in in instances where two 2009 as a core component parties need to transact of Bitcoin (note the capital “A cryptocurrency is a digital asset “B”) where it serves as securely and swiftly. designed to work as a medium of the public ledger for all The key issue here is transactions. exchange using cryptography to The invention of the that it does away with a middleman (think a bank, a blockchain for bitcoin secure the transactions.” lawyer, a Government and (note the small “b”) made so on) so a lot of businesses and their respective it also the first digital currency to solve the business models could be disrupted by this double spending problem without the need of a technology. trusted authority or central server (this is a key component as preventing someone from spending their money twice is complex). The bitcoin design has been the inspiration for other applications and Who is developing Blockchain ideas? cryptocurrencies. According to the World Economic Forum investment in Blockchain will increase significantly in the next decade, as banks, insurers and tech firms see the technology as a way to speed up settlements and cut costs as well as other What is a Cryptocurrency? applications. A cryptocurrency is a digital asset designed to work as a medium of exchange using For example, in banking, there is no blockchain. cryptography to secure the transactions, to There are just a range of areas where this control the creation of additional units, and to technology is being applied to banking processes verify the transfer of assets. and could save billions of dollars. For example, Santander produced a white paper that estimated The best-known example is bitcoin, but there are more than $20bn a year could be saved in now hundreds of them in circulation. The top 5 clearing and settlement alone. For this reason, are listed below and the total Market Cap of all dozens of start-up companies are developing Cryptocurrencies is now $309 billion, according to settlement coins that could process post-trade Coinmarket (www.coinmarketcap.com/).

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Putting this into perspective this is now similar in size as Exxon Mobil, which has a market capitalizaton of $340 billion (at the time of going to press). • Bitcoin - 62% • Ethereum - 14% • Bitcoin Cash - 5% • Ripple - 3.5% • Litecoin - 1.5%

Why is Blockchain the enemy of the State? Gold was originally the currency of choice for Governments as they could only print as much money as they had gold supply. This was the era of the Gold Standard.

This would also apply to Banks and big business where they have been de facto the only source (or a very limited source) of information or money. This explains why big business and Governments (China for example) have been big detractors of the technology and particularly the crypto currencies.

How will Blockchain change the world?

Bitcoin has been dubbed “money without Government” and “money without borders.” When you are using a cryptocurrency via the Blockchain suddenly capital controls do not apply as they once did. This frees up the possibilities for money laundering and other illicit activity, of course, but it also frees up people.

The current technology has laid the foundations for a dramatic increase in exchange, and of course exchange is the crucial process by which mankind prospers and progresses.

Should you buy a cryptocurrency?

In the process of writing this article (from September 2017 onwards) I started to trade crypto’s and bought bitcoin, Ethereum and Litecoin. I have now subsequently sold all of my Litecoin and put it all into bitcoin whilst retain the Ether. My portfolio at the time of writing is up 40% (I would also add I am investing only modest sums at this stage).

Some would argue that we are in the throes of a mania not seen since Tulips, Railroads and the dot “The internet had a big impact com bubble while others The implications of would argue that we are this possibility to on the world as it made experiencing an epoch instantly transfer communication super easy, but it changing event. Personally, wealth or ownership across borders without did show that the money system I found that by investing a small sum and taking part I interferences are I doesn’t work very well.” was better able to articulate think considerable. In my thoughts in meetings and this new paradigm, it dinner parties and as a result have kept a close would mean borders would lose much of their By manipulating the money system and coming interest on the topic. Time will tell which currency significance. off the gold standard, they enabled themselves to will prevail (think of the battle between VHS and both print money and run up deficits (and indeed Betamax video). The monopoly on money and payments that pay for very costly wars). Crucially as the money Banks have held so long is under threat from is not backed up by Gold (or indeed anything else) Our clients are also beginning to ask about this cheaper, more efficient systems. The implications there is (almost) no limit on how much can be area and one in particular is considering the for banking as we know it are considerable, as created. implications of an ICO (think IPO but in tokens suddenly is it easy to move money and goods / coins). Undoubtedly these conversations have around without anyone (read Government) At present, we live in a world where the State stemmed from my interest and activity on the knowing about it. There is going to be a lot looks after our birth, our education, our health, topic. of friction between know-your-customer, often our employment, our old age and even our anti-money laundering regulations and other burial. It was not always like this. regulations, particularly between the developing and the developed worlds. In the UK, the move to a large state model Conclusion began in the late 19th Century with compulsory Trust is a risk judgement between different parties, The internet had a big impact on the world as education one of the first pieces of legislation. and in the digital world, determining trust often it made communication The US began their boils down to proving identity (authentication) super easy, but it did show own path in 1913 when and proving permissions (authorisation). This is in Bitcoin has been dubbed that the money system income tax and the essence what the blockchain allows you to do. “money without Government” doesn’t work very well. formation of the Federal If blockchain becomes Reserve Bank (the Fed) All in all, blockchain may be confusing and appear and “money without borders.” mainstream it will grow was introduced. close to madness at the highest level but, look bigger and better over time and will increase under the hood, and the next generation of commerce. As a result, it could unleash a huge Whichever side of the political debate you are financial systems are being developed by the global economic boom (especially to areas in the on the large state model is only possible when world’s leading infrastructures, based upon this world where there is a mass of “unbanked”). Government controls money. If money becomes technological change. independent, then Government struggles to fund itself and therefore loses control. Therefore, it is not just important, but fundamental. In 1914, shortly before WW2 the British, French and German Governments all took their countries off the Gold Standard (the US followed suit in 1932 with Roosevelt’s New Deal) so they could print more money to pay for the ensuing war. This was the beginning of Fiat Money, meaning money by command. You must accept this money as payment for goods and services. Crucially you also need to pay taxes in it too!

Family Office Investor

© Cavendish Family Office 2017. All rights reserved. This article is for information purposes only. The information and opinion expressed in this document does not constitute financial advice and should not be regarded as a substitute for financial advice. Cavendish Family Office is an independent, creative and solutions based Multi Family Office in London, Monaco and Dubai. Cavendish Family Office serves clients from all over the globe including the USA, Europe, Middle East and Asia. We also help clients from unusual and high risk geographic jurisdictions or with political connections, such as PEPs. We are used to dealing with complexity and clients who have found it difficult to receive a service from the traditional banks, investment managers, and other institutions with overly sensitive and vanilla compliance and on-boarding procedures. Cavendish Family Office assists in all aspects of wealth including Tax & Structuring, Accounting, Investment Management, Real Estate, Commodities, Alternative Assets (Art, Cars, Jewellery and so on) as well as Concierge. We achieve this by utilising our wide range of strategic partners which are selected to meet our client’s needs and requirements. We are independent in thought, word and deed. We also have expertise in nurturing the “Next Gen” helping shape the family’s future legacy and ensuring that the wealth is maintained for generations to come. Sources: Wikipedia and “Bitcoin, the future of Money” by Dominic Frisby plus numerous articles on the internet.

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Â© Humberto Santos

BLOCKEX

When you walk into the BlockEx office, it feels very different from a traditional bank or exchange. It is an open plan office with exposed brick walls near London Bridge. Yet while BlockEx may not conform with the steel and glass offices across the City and Canary Wharf that make up the financial services sector, it sees itself as a link between the old world and the new. From smart family offices in Mayfair, to Ultra High Net Worth Individuals, BlockEx wants to bring them all into a new era. BlockEx started as an idea in 2014 – to create an institutional grade exchange platform, with all the functionalities of a conventional exchange with regard to financial instruments. It had to be acceptable to the traditional financial services

world. Founders Adam Leonard and Aleks Nowak envisioned this platform as a place where institutional investors could dive into the world of cryptocurrency and blockchain. Since then, they have developed a fully functional exchange, the Digital Asset Exchange Platform (DAxP), and plan on adding supplementary tools and functionalities, such as the Digital Asset Creation Tool and the BlockEx ICO Market. The Digital Asset Creation Tool is designed to enable the creation of a suite of digital assets, and BlockEx are currently in the FCA Sandbox to test out bond issuances.

Allocation System during ICO pre-sales hosted on their platform. The Pot Allocation System is a way of fairly distributing tokens. When an ICO pre-sale is oversubscribed, the oversubscribed amount of funds will be returned to participants, and tokens will be distributed proportionately. These products are both part of BlockEx’s ethos of combining the efficiencies of blockchain with the regulatory framework and governance of traditional finance.

We spoke to BlockEx’s Edd Carlton, Global Head BlockEx is also in the process of launching their of OTC Trading, and James Godfrey, Managing ICO for the BlockEx ICO Market, a marketplace to Director of Capital Markets. Both worked in list and participate in high quality, compliant ICOs. capital markets before becoming interested An ICO is an Initial Coin in cryptocurrencies and Offering. Digital tokens are blockchain. While the rest These products are both part of issued, and the revenues of the office has embraced BlockEx’s ethos of combining the generated by these tokens the more casual startup efficiencies of blockchain with the is used to further business uniform, you can see their ventures. In an ICO, a newly regulatory framework and governance heritage in their smart shirts issued token is sold to the and jackets. Edd began of traditional finance. buyers in exchange for fiat trading cryptocurrencies or cryptocurrencies. The a few years ago, while newly issued token will have a genuine utility or James became a blockchain evangelist in 2016. application within the project. BlockEx’s token, We discussed BlockEx, cryptocurrencies and the the DAXT, will grant holders access to the Pot future of capital markets.

BlockEx’s James Godfrey MD of Capital Markets (left) and Edd Carlton Head of OTC Trading, in front of their offices in London.

BLOCKEX

Edd Carlton, Global Head of OTC Trading Edd joined BlockEx having previously run and managed a cryptocurrency trading desk in the city. He has over eight years of capital markets experience, and is a specialist in cryptocurrencies, Initial Coin Offerings, and blockchain. Why is BlockEx’s OTC (Over-The-Counter) trading desk so important? BlockEx’s OTC desk provides a platform to bridge the gap between traditional finance (banks, Family Offices, Ultra High Net Worth Individuals, venture capitalists and funds) and the cryptomarkets. For many of the traditional parties, they can no longer ignore crypto due to the increasing publicity and impressive performance. However, many would be uncomfortable trading their own book on one of the existing Bitcoin exchanges, as they lack the knowledge and education to transact, store and manage their positions on order books that can be highly volatile at times. One way BlockEx looks to bridge this gap by providing a dedicated OverThe-Counter (OTC) trading desk to assist and overcome the various challenges posed to new market entrants.

“As with all new technologies, the biggest barrier to adoption is always education.” Trading on an OTC basis generally offers a number of additional benefits to Exchange trading. OTC traders can manage risk, both in terms of counterparty risk, and entry and exit price. When trading with BlockEx, you’re making a trade with a trusted counterparty. The trade is instantly filled and you no longer risk exposure to external

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vulnerabilities such as holding large quantities of fiat or crypto on public exchanges. Historically, these have proven more susceptible to hacking attempts. Entry and Exit risks are minimised, as you are no longer required to deal with trying to fill orders on thin order books, resulting in slippage. OTC pricing is also less susceptible to volatility. OTC trading lends itself to parties placing large orders. The trade is fixed and locked in off market with quick and efficient delivery of fiat or crypto. Do you see cryptocurrency going mainstream? I think to a certain degree they already are. However, as with all new technologies, the biggest barrier to adoption is always education. Getting people up to speed, and providing them with the information and tools to get involved, is so important. I also think that good governance and regulation play a huge role in making people feel comfortable in this new

environment. FinTech companies like BlockEx can play a role in this. BlockEx isn’t asking people to take a leap of faith. What we’ve created is palatable to your ‘traditional investor’. We’re operating something where the experience should be no different than transacting in a traditional financial market. We’re creating that familiarity, ease and accessibility, and doing it in a governed and self-regulated manner.

“BlockEx is well placed to bridge the gap between the old world and the new.” What excites you about BlockEx? BlockEx is well placed to bridge the gap between the old world and the new. I started out working in capital markets, then made the move into crypto. I think it’s really important to link the two. People bandy around the word “FinTech” a lot. FinTech is meant to be that link, between the financial world and technology. BlockEx provides that bridge, not only when you look at the people who make up the company, but also the products that we’re offering, from the exchange, to the ICO tool and bond platform. To my knowledge, no one else in the market can offer such harmony between the two worlds.

Edd Carlton is a specialist in cyptocurrencies, Initial Coin Offerings and blockchain.

James Godfrey, MD of Capital Markets James has thirty years of credit trading experience, having run the trading desks as an MD at both Nomura and Mizuho. He now considers himself a “blockchain evangelist”. He was at the forefront of the explosion in electronic trading, and sees blockchain as the next major innovation. You have a much more extensive background in capital markets. How do you think BlockEx is going to change this market? Edd talks about us being a link between the old financial markets, and the new, and that’s exactly what we are. It’s interesting to note, when I first started talking to people about this almost a year ago, the vast majority of them didn’t know what a blockchain was, or what distributed ledger technology was. Now they do. Now we have traditional financial companies looking at buying things like ICOs. But they need to be able to buy them in an environment where they feel safe. For them to feel safe, it has to be something that they recognise. That’s why we’ve built what looks and feels like a compliant exchange. Currently, there

“When I first started talking to people about this almost a year ago, the vast majority of them didn’t know what a blockchain was, or what distributed ledger technology was. Now they do.”

is no regulation surrounding a lot of what we do. But there will be. And what we’ve built will become the industry standard for what an exchange will look like in the future. What do you think is the most disruptive aspect of BlockEx? A lot of the things we can do with digital assets haven’t been unleashed on the world yet. It’s going to make things very different. What other people are starting to realise now is that a bond is just a series of cash ﬂows. In fact, any financial instrument is a series of cash ﬂows. The Digital Asset Creation Tool, the DACT, makes it possible to create lots of different types of financial instruments. We could recode the platform to do trade finance, or syndicated loans, or even equities. It’s not a massive build out. So now that we have the marketplace, recoding the DACT to trade traditional financial instruments in a digital fashion is not far away. Why are you sold on the BlockEx bond platform? Currently, the Digital Asset Creation Tool can only issue bonds. But these bonds are very special. They are going to give customers much more functionality in their products than they currently have. The functionality of our bond product is way in excess of what is current for a

“A lot of the things we can do with digital assets haven’t been unleashed on the world yet. It’s going to make things very different.”

bond issue, whether its the time to market, being able to see who your bond holders are, or being able to process a trade in 30 seconds, eliminating settlement risk. www.blockex.com

Above: James Godfrey considers himself a blockchain evangelist.

ICON CAPITAL RESERVE

ICO’S AND THE BITCOIN BUBBLE:

©iStockphoto

WHAT HAPPENS NEXT?

Opposite page: J Bradley Hall, CEO of Icon Capital Reserve and three gold bars from AUREALS™.

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J. Bradley Hall is the Founder, Chairman and CEO of ICON CAPITAL RESERVE. Brad is the architect behind the launch of a number of successful companies and enjoys a reputation as a focused, energetic entrepreneur with 31 years of finance, M&A, gold trading and fund management experience. Servanne Sohier sat down for a Q&A with him to talk about his new product AUREALS™.

SS: “Where do AUREALS™ ﬁt in in terms of your career?” Brad: “The most exciting opportunity I have ever been involved in. You need a compelling problem you are going to solve, a vast and underserved market, an experienced team and, of course, luck and timing and it seems that the stars have aligned.” SS: “It sounds exciting” Brad: “Indeed, and perhaps I can offer some helpful context. I was investing in software in San Francisco during the original dot com days when the Internet liberated information in a manner reminiscent of the impact Gutenberg had 530 years earlier. The HTTP at the backbone is a thin protocol where the cost was largely embedded. Andreessen and Netscape created the on-ramps and exited with a USD$12bn valuation. Google was also created at the application level and indexed the Internet of information, today enjoying a USD$720bn valuation.”

SS: “Brad, it seems that everyone is talking about USD$8000 Bitcoin and wondering if this is a Bubble?” Brad: “I hear that question quite frequently. Bitcoin (BTC) is clearly in Bubble territory and as Voltaire noted all fiat currencies revert to the mean, which is zero. BTC will follow the trend as it remains a ‘claim check with nothing to claim’, however it may go to $20k first, so if you are trader, enjoy, otherwise I would advise caution.”

SS: Will the next Google be launched on the Blockchain? Brad: “Absolutely. The Blockchain represents a new protocol that instead of being ‘free’ like HTTP, uses paid tokens like BTC that are protocols for allocating scarce resources. You don’t really need BTC tokens to exchange value and instead ICON was launched like Google to index assets, with AUREALS™ acting as a gold based value protocol.”

SS: “ICO’s or Initial Coin Offerings ~ Are they a fad or something we need to pay attention to?” Brad: “Well, in a sense they are both. In the former, you have someone publishing a bunch of future promises in the form of a whitepaper and raising tens or hundreds of millions of USD$ with very limited prospects of creating any future value and in the latter you have some very clever people creating things that will change the world. As an asset class now worth more than USD$200 billion, it does merit serious consideration.” SS: “You are no doubt from the latter.” Brad: “We certainly like to think so. (Laughing) I have been working in fintech for 3 decades, in 35 countries at last count, and the ICON team is proven and extremely deep in terms of knowledge, experience and global relationships.”

SS: “Have USD$200bn of these tokens been issued through ICO’s to investors hoping they have part of a new value protocol for the Blockchain?” Brad: “Yes! Exactly. Bets are being placed on what future

money may look like and candidly most of these tokens are worthless. However, some like AUREALS™ may become incredibly valuable, thus becoming the new asset class” SS: “I understand the excitement.” Brad: “A growing number of sophisticated investors are coming to a similar conclusion. For us this journey began almost a decade ago when we discovered how gold underpins the worlds’ financial system and why Sovereigns, Dynasties and Successful Families use gold to protect inter-generational wealth. We researched back to Babylon to understand how ledgers and money were first created and why gold is always re-asserted as the numeraire over time. We carefully studied the work of monetary expert Dr Viera from Harvard who established that the average lifespan for currencies is 27 years and that complex financial systems start with gold, adding debt until they apex and implode, typically every 30-40 years. If you are wondering where we are in the cycle, the Petro dollar was launched in 1973.

“You need a compelling problem you are going to solve, a vast and underserved market, an experienced team and, of course, luck and timing and it seems that the stars have aligned.” SS: “If 1971 was the end of the last gold standard, would it be fair to say that ICON is offering AUREALS™ now as a new Gold Standard on the Blockchain?” Brad: “I like your assessment. We began trading

ICON CAPITAL RESERVE

Graphic from one of the vaults used by Icon Capital Reerve to store the gold. This one is in Switzerland.

based on 99.99% of spot gold and they are issued into the wallet.” SS: “So now I have my AUREALS™ what can I do with them?” Brad: “You can use them as a compliant and exempt store of value that sits outside the banking system. You can exchange them with any other wallet holder and we use the Blockchain to clear, settle and irrevocably register those transfers in 15 seconds. You can literally send USD$100m in AUREALS™ phone to phone, in 15 seconds without going through a bank. AUREALS™ will be bought and sold on various digital exchanges and, of course, at a minimum threshold of USD$1m you can exchange for the underlying physical gold.”

“You can use them as a compliant physical gold in a company that was ranked as the top new start-up in Hong Kong. We discovered the Blockchain in 2013 and it was an epiphany that led to the creation of ICON CAPITAL RESERVE. We created a minimally viable product to demonstrate AUREALS™ to our UHNW and Family Office private clients. I travelled the globe key-noting Family Office Events and explaining how the convergence of gold and the Blockchain would change everything.” SS: “What was that like 4 years ago?” Brad: (Laughing) “Well, to be honest for the first couple of years many thought I had just beamed down from another planet but over the last year that has shifted rather dramatically.”

“They are encrypted and can’t be double spent or stolen. We convert physical gold assets to financial gold assets that can be verified on demand.” SS: “Can you offer a simple explanation of how AUREALS™ work?” Brad: I would be delighted to. We have relationships with insured vaults in free zones in places like Shanghai, Hong Kong, Singapore, Dubai and Switzerland where our partners operate a former military facility inside a mountain complete with a private airstrip. ICON is not a bank, so the gold we store is fully compliant and exempt from declaration under FATCA and similar schemes in 109 countries. We store 1-kilo bars and receive safe keeping

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receipts (SKR’s), which do not involve a change in title. Each receipt details all of the 1-kilo gold bars specifications. SS: “The gold is secure, discreet and private.” Brad: “Exactly! We use these SKR’s to create a smart contract called a CINTAMANI™, which in Sanskrit means converting thought energy into gold. Each of these contracts entitles the holder to the physical gold and we register and reserve these on the Blockchain. They are encrypted and can’t be double spent or stolen. We convert physical gold assets to financial gold assets that can be verified on demand.” SS: “You use the Blockchain as a de-centralized ledger to register and exchange these assets?” Brad: “That is correct and so it follows that each CINTAMANI™ allows us to create 1000 AUREALS™, which are also smart contracts registered on the Blockchain, as 1 gram financial gold liabilities.” SS: “How does a private client get AUREALS™?” Brad: “In seconds they can set up a digital wallet that looks very much like an on-line banking dashboard but acts like a virtual safety deposit box. We use AI to create an encrypted key to the box and the address is registered on the Blockchain. All of the T’s & C’s & subscription agreements are in the wallet. A software licence is executed and then funds are sent our bank pursuant to a commercial invoice.” SS: “Clever, so now the private client is simply paying a commercial invoice and then presumably keeps the contract as evidence of source of funds when they liquidate?” Brad: “Yes that is an important observation and it allows banking compliance to tick the box on inbound and outbound transfers. We price the AUREALS™

and exempt store of value that sits outside the banking system.”

SS: “I can see how UHNW and Family Offices might love AUREALS™.” Brad: “That is true. We also offer a no limit ICON VISA card that can be linked to your wallet. Perhaps you are in Monaco and are provisioning your super yacht. You can use the no limit card to pay for the provisioning and even retire the bill at the end of the month by selling your AUREALS™. Larger families can issue the cards with various limits for principals, children, and staff all under control of the Family Office. The AUREALS™ can be subscribed for anywhere in the world, transferred anywhere in seconds and then used to effect payments on the VISA. It really is an elegant solution and we are negotiating some interesting strategic joint branding partnerships as we speak.” SS: “I want to sincerely thank you for your time. Can you share some of the other things you are working on? Brad: “We expect to launch a scanner that can create a fingerprint for gold bars and also establish the provenance of Fine Art and Wine registered and traded on the Blockchain. Our team is evaluating opportunities that may see us price assets including oil and real estate in AUREALS™ and I invite anyone who would like to learn more to contact me directly at brad@icon.gold. Thanks again, this has been an absolute pleasure.”

www.icon.gold

The bank for a changing world

THIRTY NINE MONTE CARLO

IN CONVERSATION WITH

ROSS BEATTIE Ross Beattie is the founder of Thirty Nine Monte Carlo. His exclusive Private Members Sports Club solely was launched October 2016 and has proved to be a success after one short year. Ross Beattie is a former International Rugby player, who played for the Scottish National team. Ross grew up with the hard “rules” of Rugby. He learned early that Rugby is not only a sport but a philosophy of life which builds up the man in term of “muscles” as well as properly educating the “human being”. Ross always had the motivation to continuously improve and better himself and this is one of the main reasons he launched Thirty Nine Monte Carlo in Monaco. At the end of a successful sports career the challenge was to create something which fit his philosophy of life and be special, uplifting and unique. The challenge came in finding an environment that was tailored to his specific needs, and, as the story goes, since he could not find this place, he built it! Thirty Nine Monte Carlo has been a new concept for Monaco. Interviewing a former pro athlete is always a special experience. Sometimes you speak with somebody who lives in the past and likes to reminisce about his former glory….this is not the case with Ross. Ross Beattie is someone who took the best part of his past and used it to create a longlasting project for the future. It is this feeling that you get when entering Thirty Nine. Andrea Dini sat with Ross to talk about the path that led him to opening Thirty Nine Monte Carlo. Andrea Dini: What is the philosophy behind Thirty Nine? Ross Beattie: I originally had the idea that I wanted to create a place to try and help people avoid the problems and issues I had when I was playing professional sport. I was a professional rugby player for 14 years, and I spent just over half that time injured. I’ve had 22 operations. Initially I was looking at ways how I could have avoided those situations. I was also trying to find ways to avoid one of the side effects which is spending a lot of time not knowing what was wrong with me. This was really about the mental problems that occurred because I had nobody to talk to about what was happening to me. This isn’t the case now in sport as

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there’s a lot more sport psychology available. I wanted to create a place where normal people could get the right advice and help so that they could fulfil their potential. If they were a professional athlete, or whether there was a normal person who is spinning like you are, they all could get the advice they needed. After that, it expanded into a much bigger concept. I suppose that my real philosophy is that I just want people to enjoy their life more. AD: Why did you decide to set up a private members club? RB: There are no private members clubs in Monaco, other than the yacht club, which has a completely different philosophy. There are some clubs, but for me the ideal for a private members club is a place where people could feel like they were at home. The yacht club is in one of the most beautiful buildings that was ever created, anywhere. Inside, it’s amazing, but it has a certain philosophy, which it sticks to when you go there. You get dressed up, there’s a certain ambiance, and it feels like it’s a privilege to be there. Whereas in here, I want people to completely relax. They can be themselves and totally switch off. They don’t have to show off. They don’t have to feel they have to act a certain way. It’s a place where

they can do business in an environment where they can be themselves. As soon as people are relaxed, they can talk about anything. If you want to do some business and you’re in a relaxed environment, you might get the deal done quicker. So my goal was to create a social environment where people can do everything under one roof, but also they can meet friends and create a community. This is a very different concept to anything else in Monaco, and I felt that something like this was missing in Monaco. AD: Does the fact that the entry fee is quite high bring some degree of internal selection? RB: Two things. First of all, strangely enough, Thirty Nine Monte Carlo is cheap compared to other clubs in the world. Secondly, a lot of people don’t fully understand what the club is yet. What you actually get with your full membership is quite a lot. Currently, there’s 60 free classes a week on the gym side that you get, and that will grow over time. You don’t get that anywhere else. On top of that, it’s the environment, and the service that we offer. We don’t necessarily want every single person to be a member. We want the right people to be members. AD: How do you actually set up a private members club? RB: I have no clue. [Laughs] No, I’m joking. It’s funny. Eight years ago when I finished playing rugby, I saw an opportunity in Monaco to do something slightly different in my old business, which is a bespoke health and wellness center. I just knew that Monaco was different and that there was an opportunity here. I also knew there are some amazing people down here. So I packed my car up and literally just drove down here from Newcastle and I’ve been here ever since. I never knew that this is what I’d be doing. I didn’t plan it. It’s just something organically that kind of evolved. And even when we first started the project here, it was never initially meant to be what Thirty Nine is now. It just kept growing and growing and growing. So it’d be very easy for me to say -- yes, it was a big plan --

THIRTY NINE MONTE CARLO

but all that I had was the initial concept of trying to make people enjoy their life more, of allowing people the opportunity to fulfil their own potential. And that really is the final end product. AD: What sets Thirty Nine apart from other clubs? RB: All I and the rest of the team think about now is to ensure that whatever we do we concentrate on where we want to go, rather than comparing ourselves or worrying about what somebody else is doing. What sets Thirty Nine apart as a club are the people who use it and the staff who service it, as they combine to create a unique atmosphere. I can give you other reasons too: I believe we have the best chef in town, the best marketing people, and the best trainers. Our gym is the best gym in Europe, by a long way, which is why we’ve got ATP people, and F1 drivers and professional cyclists. I know it sounds quite arrogant to say this, because I would rather have someone else say it than me, but its fact – our gym is amazing. Our water supply is something a lot of people don’t know about. It is Pure Ionic Water. We take Monaco’s water, clean and filter it and then we change the pH level, so that depending on where you are in the club, you can water specifically filtered for you. It’s a hell of lot better for your longevity and health to drink our water than normal tap water. AD: How does one become a member? RB: One way is just to contact the club and have a meeting with our Head of Membership and we go from there. There are a lot of rumours you have to put things forward and that you have to be nominated by people. Generally if you were to

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say, “I want this person or I’m presenting you with this person”, then we would trust the fact that this person is good because he’s your friend or she’s your friend, so there would be no issue. We do have a process when someone comes through the door and we know there’s an issue with them that’s going to affect the balance of the club, so we may say, “No, it’s not for you”. But generally most people we’ve met are fantastic. AD: What are the main benefits for a member? RB: We’ve got different memberships. With a full membership you get access to everything. All the floors, all the facilities, the 60 free classes we have, plus discounts in the spa, and access to all our brand partnerships. We also have a social membership which just gives you access to the restaurant and dining space, so you can use it for socialising. It depends on how you want to use it. Some people will just use the gym, some people will just use the bar, and others will use both. But the main benefit is they can hang around likeminded people, and our brand partners, and talk to them. One thing which is generally not known is that we never talk about our clients. We’ve got lots of sporting people who come in, but we will only ever talk about them if they give us permission. For us privacy is really important, so we never disclose who is and isn’t a client. They can turn up and sit down, either dressed up or wearing shorts and a tee-shirt and just be themselves. AD: What do you offer for businesses? RB: We have a corporate rate for businesses, but, again, we are quite selective in terms of who

we want. A lot of places have bankers. Now if we did that, it would completely ruin the atmosphere, because you’ve got hundreds of bankers who are trying to get access to our clients. We’re really selective on who we do a partnership with, or who we do a corporate rate with, to ensure they’re using our club for the right reason, not to just get access to people to do further business. We organise events for businesses as well. Our head of events, Margaux, is fantastic. But the space we’ve got here is quite unique for Monaco. It’s quite intimate, but it’s also enough space to be able to hold some pretty nice sized events. We’ve done quite a few things with outside companies that have come in. The good thing about that is that for any event we do, generally, our members are allowed to come to that event as well. AD: In a place like the Principality where there is a large number of UHNWI’s what do you offer to these individuals so they feel comfortable and want to join your members club? RB: We have a general rule that every single person who comes through the door gets treated the same way. We don’t have a platinum, gold, silver, bronze membership. We have different memberships in terms of the services you get, but every single client gets treated the same as every

Top left: Thirty Nine’s Pure Ionic Water has been proven to be the best water for sports performance due to its higher mineral content which aids muscle growth and repair.

F O R OV E R 1 3 0 Y E A R S

A BERMUDA CLASSIC P O I S E D T O C O N T I N U E T O B U I L D O N T H E H I G H S TA N D A R D S F O R W H I C H W E H AV E A LWAY S B E E N K N O W N .

T H E H A M I LT O N P R I N C E S S .C O M TEL +1 441 295 3000 â&#x20AC;¢ 76 PITTS BAY ROAD, HAMILTON HM08 BERMUDA

THIRTY NINE MONTE CARLO

other client. For me that’s really, really important. If you can afford to be a member and you have the right character, then you’re just as special as everyone else. If somebody comes in and feels that they should be treated differently, then they’re not the kind of member that we want to have. Money doesn’t make you more special than anyone else. For me it’s the character of the person which is special. So every single person is a superstar. AD: How do you manage to mix all these individuals who all have different requests? RB: I think that’s the fun of it. For me if you’re able to take away the stress of it being a business -- which happens in every business -- and just look at it as a social experiment, then it’s fascinating watching all those human interactions. We’ve been open a year and the club already is very different. I think of how the club was when we first opened. All the ideas we thought we knew or would be wanting in the beginning changed because, in reality, you find out how people want to use and then change things to give them what they want. One of our philosophies is to try and say “yes” to everybody as much as we can. And there are some strange requests and sometimes it’s not possible to do it, but we genuinely want to make people as happy as possible. After all, it’s the member’s club -by that I mean, it’s your club, you’re the member. It’s not my club. I happen to be the owner of it, but all the people who use it, it’s their club.

other people. One of the clients came up to me a couple of weeks ago and said, “Look I’ve just been downstairs. This tennis player walked up to me, I didn’t ask him to, and helped show me how to do an exercise.” And I just started laughing because it was exactly what I wanted to happen. If somebody feels at home, they can relax and forget who they are. Normally if a top tennis pro or Formula 1 driver goes someplace they can’t relax because they’re on show. They know people are looking, whereas the atmosphere I think we’ve created here is that everyone can just chill out and be themselves. That’s when human interaction happens. AD: What are your goals for the future of Thirty Nine? Are there any developments pending? RB: Yes, because for me the club’s not finished. I’m a bit of a perfectionist. There are a lot of areas in the club that I want to improve. There are different services that we will be bringing in and we may possibly change the upstairs area to offer a different service. The most important thing is that we keep improving this club and grow the membership, and make sure everybody’s happy before we look at doing something else. But obviously it’d be great to produce another club somewhere else, maybe London or New York. There has been talk about it, but at the moment until this is perfect here, there’s no point in looking somewhere else.

AD: Your members come from different backgrounds. You have Formula 1 drivers, top athletes, training alongside businessmen and normal people. How do you manage all them? RB: It all comes down to the personality of the club. I used to be a sportsman and I know when I was training in a commercial gym there would be two reactions. One reaction would be that some people really liked it and wanted to be around us and talk to us and tell their friends that they’re training with professional athletes. The other reaction was it would intimidate people and these people would not like it and wouldn’t want to be around us because they didn’t like the atmosphere we were creating. So when we built the club, we split the gym floor into sections for different types of personalities. If you like Pilates and yoga, then that is on one side of the sports floor. Whereas on the other side it’s a much harder training set-up, it’s a more athletic set up for the athletes. The other thing I find fascinating is that there are certain boxes I wanted ticked when we built the club. One of them was the showers. If somebody came in and said, “I want to shower in the club. I don’t shower at home because the shower’s so good here. I only shower here now.” Someone said that one day and I thought, great, that’s one box ticked. The other thing that I wanted was to have a top tennis player be able to come in to use the facilities, and then relax and be able to start interacting with

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Former International Rugby Player Ross Beattie took the best of his past and used it to create a long-lasting project for the future.

www.colibri.mc

FOR ECOFRIENDLY YACHTING

BEST PRACTICES

ARMAND DE BRIGNAC

IN CONVERSATION WITH

SEBASTIEN BESSON

Â© Haynsworth Photography; Pat Denton

CEO ARMAND DE BRIGNAC

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ownership since 2014, but steered by 13th generation winegrower Alexandre Cattier, is the most luxurious and indulgent of champagnes. Achieving an unusual blend of complexity and accessibility, the Armand brand is continuing to grow a loyal following among the successful and cultivated global elite. Wine expert Tom Harrow talks exclusively to Armand de Brignac CEO, Sebastien Besson,about his background, the brand’s distinctive style and appeal, and the changing face of luxury today. What was your background prior to joining Armand de Brignac? “I’ve enjoyed a varied career. I was in the military: - A sergeant in the French Air Force, chief of staff for the Head of Finance at an airforce base in Paris, where the presidential fleet was kept; and then I was in banking and finance for a time, before making the move in to the drinks industry. I worked twenty years for Allied Domeq, on international taxation and corporate projects, across multiple wine and drinks properties, during which time the acquisition of Champagne Mumm’s Cuvée Napa in California was my entry in to the world of premium sparkling wines. What attracted you to Armand de Brignac and how did you come to work for the company? “At the time I was the Managing Director of Russian Standard Vodka in the U.S. and I was approached by a head-hunter looking for someone who was New York based, a fluent French speaker, and experienced in acquisitions, for a newly acquired brand. I was subsequently fortunate enough to be chosen by the new owner of Armand de Brignac, Jay-Z, and was in fact his first employee postacquisition. For me one of the key appeals was the owner: Joining an organisation headed by such a charismatic, successful, multiple businessowner, and to help re-launch the brand was an amazing opportunity. There had not been a serious Prestige Cuvée Champagne created in the current generation and the challenge was exciting: I knew Armand was a strong, intriguing brand and something special, and like Laphroaig (Islay Single Malt) which I worked on at Allied Domeq, was one which whether you loved it or it wasn’t for you, was impossible to ignore. What are the key tenets of Armand de Brignac? “Firstly our history and the quality of our vineyards: Alexandre Cattier is now 13th generation winegrower after his father Jean-Jacques earmarked exceptional sites at the turn of the century specifically to make a very special new Champagne. In the winery our emphasis on perfect fruit expression is important and our house style challenges the myth that older is better. We seek to find the balance between fruit and ageing and

also press the grapes very gently to bring the juice to its peak, better preserving its character and ensuring a balance of sophistication, complexity and accessibility. As a result, unlike some, with Armand you always want more than one glass. We do have different styles however: The rosé might be considered by many as perfect for the weekend or as a delicious aperitif, where our much lauded Blanc de Noirs is more intense, showing a different profile, that may be especially appreciated by experienced palates or in a gastronomic setting. Armand de Brignac is also distinct in that we experiment with a different tirage (vintage blend) in different sized bottles. Our Blanc de Blancs blend is different in magnum for example as the larger bottle ages differently and we want to create the best tirage for this (In bottle the blend is 09, 10 & 12 so aged 4 years on lees but in Magnum, it’s a blend of 05, 06 and 08 so aged 8 years on lees). This is not usual in Champagne. We also encourage an extended ageing or recovery period, post disgorgement, on the cork - which is different form ageing on the yeasts. e.g. - our Demi-Sec spends up to twenty four months in the cellar after being disgorged to give the higher dosage sufficient time to integrate fully. “The most important element for me is understanding there is no such thing as luxury without innovation: - You have to put yourself in a unique, creative space. There is something very special and very different about Armand: Well beyond the distinctive bottle design, there is a unique blend of tradition and authenticity and pushing the envelope and I love the dichotomy between these elements. We are delighted by critical endorsement (the Blanc de Noirs recently received 96 points from Decanter and was voted best in class by one of the world’s foremost Champagne experts Essi Avellan MW), but what we find most important is the pleasure of consumer experience. Knowing loyal friends of the brand are enjoying their Armand de Brignac moments and returning repeatedly for more is the ultimate validation.

Above: The Cattier family is based in the Montagne de Reims and own 33 hectares of vines across some of the most lauded crus in Champagne. Top right: Each bottle of Armand de Brignac is finished with a unique dosage, which comprises the finest base wine of the harvest, aged for one year in new French Oak.

How has Armand de Brignac evolved since the acquisition? “It has been three years, during which the focus of our communication has been firmly on what is in the bottle. We have been used to challenging the status quo but now it’s the contents and not the image which is the focus. The quality of our winemaking is where the exciting discussion is. Another change is that we have a completely different distribution network now, plus more new markets expanding worldwide: - Places like Mexico, Brazil and Kazakhstan have taken off, and our penetration in to China has become really significant. Key developments are the quality of our global resources, better control of our supply chain, expanding markets, allied to our ongoing mission to achieve perfection. How do you view the brand positioning of Armand de Brignac and how is it differentiated from other prestige cuvée Champagnes? “Champagne is the drink of celebration, and the best successes deserve Armand de Brignac. We see our Champagnes as the reference point for the ultimate celebration of our consumers’ achievements and are delighted to share the moment with them. The consumer is central: We don’t care what other brands are doing, we care about satisfying the best people in the world with the best Champagne. We have a principle of no compromises and a hands on approach to everything, from the selection of the fruit to the quality of the materials used for the foil around the cork and the cardboard of our packaging. “The most important difference is our extremely limited production compared to larger corporate brands. I believe in growth of course but the right way to achieve this is through quality not quantity and our focus is purely to make the best Champagne, have the best supply chain and the best communication, without restriction. None of our distributors have volume targets although ironically they are always asking for more stock

Armand de Brignac, a maison under new

ARMAND DE BRIGNAC

Armand de Brignac’s recent association with three-Michelin starred Arnauld Lallement (pictured) in Reims who launched a special menu pairing signature dishes to each of Armand de Brignac’s champagne.

and now all supply is on strict allocation. Growth is organic and global: From Nigeria to Singapore, Korea to Germany, our consumers are enjoying the Champagnes with their friends and expanding the network naturally. What exciting developments are we seeing and can we expect in the near future? “They are so exciting I can’t discuss them currently! I can say however that unless something is exceptional it will not be associated with Armand de Brignac. We have no marketing partnerships and if the discussion turns to contracts then we know this is not the right partner for us, but we work with affiliates who share our values and similarly appeal to sophisticated, confident, successful consumers. A good example is the Swiss watch brand Audemars Piguet, with whom we host regular events, and who epitomise limited production, quality and craftsmanship. Our most recent association is with three Michelin-starred Arnaud Lallement in Reims and again it was a natural and organic development, borne out of Arnaud’s longstanding friendship with Alexandre Cattier. In September we launched a special menu pairing signature dishes to each of Armand de Brignac’s Champagnes - the only place in the world you can enjoy all five cuvées (including the exceptionally rare Blanc de Noirs) by the glass. We are currently discussing a potential partnership with a very high-end family-owned château as their consumers love fine Champagne and ours love other wines but it’s too early for me to reveal more. How is the luxury sector developing in terms of engaging with HNW consumers? “The Luxury industry in general is evolving very fast, as there has been such a transformation in consumer experience, and the market is increasingly global. A HNW consumer in Paris can have exactly the same interests and exposure to brands as a consumer in Shanghai, and given the globetrotting

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nature of our clients, can even be the same actual same person. Luxury brands need to identify these common aspirations, then find the best and most consistent way for consumers to experience them. For us the same client might first experience Armand at a wedding in India, next in St Tropez during the summer season, and then again in LA at a Christmas party so we need to accompany these lifestyle changes and remain relevant to changing patterns of consumption. However in all cases the story must remain the same because whilst being responsive to consumer demands you must remain true to your brand. The product needs to be authentic and the message consistent as consumers will not forgive disparities in different markets. Getting this right means the brand is equally relevant drunk in your London club, at your daughter’s wedding in Italy, or by the top clients to whom you gift bottles. “We have a younger consumer base than most top Champagne brands, and it is important to maintain the right presence for this second generation, who are very astute when it comes to social media and confident communicating about their lifestyle. Finally, apart from Armand de Brignac, what are your other passions? Ask anyone who knows me and the answer is Cars, cars, cars. I have always had a passion for luxury automotives and I’ve especially always loved British cars. I have learned a lot about the worlds of luxury and craftsmanship courtesy of my appreciation for Bentley and Rolls Royce - Henry Royce’s notion of always taking something and making it better has underpinned my own drive for perfection. Since a boy I’ve sought to understand and then follow his mantra “whatever is rightly done, however humble done is noble”. One can’t hope to live better than that.

Arnauld Lallement’s restaurant in Reims is the only place in the world where you can enjoy all five cuvées - Gold Brut, Rosé, DemiSec, Blanc de Blancs and Banc de Noirs Assemblage Two - by the glass.

GRANTURISMO EXPERIENCE

EXPERIENCE IT TO BELIEVE IT

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Words and pictures are well and good, but for a yacht that’s so new and so different you really do need to get hands-on. Luckily Silver Arrows Marine has a solution that’s just as innovative as the yacht itself: Granturismo Experience. And you are invited… Automotive journalist Bob Murray went along on the ride. As innovators throughout history have found, coming up with something that never existed before can be only half the battle – often the real challenge is explaining your innovation to the marketplace. How best to get people on board with your big idea? Well, in one yacht company’s case you do just that: invite them on board.

hosted by the very people who, over the past seven years, have seen their dream of a “Mercedes S-Class of the seas” become a dramatic reality. Jacopo Spadolini, Silver Arrows Marine Chief Executive Officer, says: Like all truly innovative products ARROW460 needs to be experienced first-hand to be fully understood. Granturismo Experience allows our guests to get to know not only Mercedes the yacht but also who we are, what drives us and how we put the customer first in everything we do.” A typical Granturismo Experience day might start in the sumptuous back seat of a Mercedes-Benz S-Class before transferring to an ARROW460Granturismo for your personal sea trials – all with five-star hospitality of course.

“You have to experience it to believe it” is the rationale behind the Granturismo Experience from Silver Arrows Marine whose new ARROW460 luxury motor yacht encapsulates all the performance and elegance that Granturismo stands for…on water.

There is plenty of time to put the 648 kW (880 hp) ARROW460 through its paces, see how the huge glazed areas of the spacious cabin open up to bring the outside in, and to appreciate the cutting-edge design, craftsmanship and technology that bind Mercedes yacht with Mercedes car.

While no one could possibly miss the MercedesBenz designed yacht when they see its elegant coupe-inspired profile, full appreciation of its unique features and layout is only possible when you get up close and personal.

In today’s parlance it’s an immersive and experiential day. Silver Arrows Marine, however, likes to think of it rather more simply: as a day out on the water with friends.

And that’s where the Granturismo Experience comes in. It’s an invitation on board a 14m motor yacht unlike all others, one that really does need to be experienced to be believed. The “loft living” saloon, “terrace by the sea”, “pergola” style opening glass roof, “concept car” interior and host of bespoke details are just words until sampled first hand. Based in Monaco, the home of Silver Arrows Marine, every detail of the family-friendly day is arranged by the company’s own concierge service to meet individual client needs. And the day is

This personal approach is just one example of how Silver Arrows Marine is re-defining the relationship between boat builder and boat owner: as a partnership before, during and after a yacht’s commissioning and delivery. Such a person-first approach comes naturally to the key players behind Silver Arrows Marine – as naturally in fact as their collective insistence on innovation. While this is a company that thrives on challenging convention, its centre of gravity is the people who make it possible: its clients and its suppliers/partners in a Network of Excellence.

The company itself has a very light structure, is fast-moving and fizzes with ideas. The best salesmen are Chairman, Ron Gibbs; Chief Executive, Jacopo Spadolini; Marketing and Communication Director Paolo Bonaveri and Head of Engineering Andrea Venezian. Like you, they are all yacht owners and fanatical about cruising, as well as being boating industry professionals. Indeed it is precisely because Silver Arrows Marine’s key players have owned and sailed in so many motor yachts over the years, and been so dissatisfied with cramped quarters and gloomy cabins, that seven years ago they decided to design and build their own. They brought in to the project esteemed superyacht designers such as Martin Francis and Tommaso Spadolini, and partnered worldrenowned specialists in power units, control systems, glazing and hydraulics. They used automotive best-practices to reinvent how yachts of this size are developed and built. An extensive prototyping stage was used to ensure quality control from the very first customer boat. “Just in time” assembly sees modules and components from Silver Arrows Marine’s Network of Excellence supply chain delivered direct to Baltic Yachts in Finland, where all the composite components are produced. Silver Arrows Marine applied more automotive DNA courtesy of Mercedes-Benz Style, reinventing the typical 14m layout into a yacht that not only looks unlike all others but one that truly reflects how boats of this size are used. The sleek result embraces lifestyle living on the water like nothing else in its class – something that Ron, Jacopo, Paolo and Andrea, all of whom are available to host Granturismo Experience days, are enthusiastic about sharing. Be warned, though: their enthusiasm is infectious!

BOHEMIAN GLASS ART Family Office Investor

BOHEMIAN GLASS ART WORTH ITS WEIGHT IN GOLD?

Glass has been made for hundreds of years, but its elevation from a decorative craft to a recognised art form is a more recent phenomenon. And for savvy collectors, glass art is proving an attractive and affordable investment.

ÂŠMartin Colognoli for Vlastimil BerĂĄnek/ Courtesy of Crystal Caviar

Journalist Keri Fuller looks at the rise of Bohemian crystal.

BOHEMIAN GLASS ART

Jan Frydrych made this unique yacht chronometer in collaboration with German clockmaker Erwin Sattler.

ne of the areas of great investment potential in the world of glass art is Bohemian glass (or Bohemian crystal), which stands out for its colour, sparkle, cut and creativity. It takes its name from the Bohemia area of the Czech Republic, where the glass is created from a mixture of silica-sand (silver sand), potash, colour and lead, the latter giving the material its light-diffracting properties as well as weight. According to Mark Hill, a leading specialist and dealer in post-war Czechoslovakian glass, the country’s enormous contribution to late 20th Century glass design is only now being uncovered after years of obscurity behind the Iron Curtain. Very fine quality cut and cased Bohemian glass was exported during the Communist era but individual glass designers were never given any recognition. Nevertheless, artists such as Stanislav Libensky, Vaclav Cigler and René Roubicek emerged as the ‘fathers’ of post-war Czech glass design and it is on this legacy that the next generation of Czech glass artists is coming to prominence. Several of these artists, among them Vlastimil Berànek (the third generation of the Berànek glassproducing family and himself trained by Stanislav

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Libensky), Jan Frydrych, Jan Fischer, Jaroslav Prosek and Michaela Smrcek (the last two were students of Berànek), are being championed by Marek Landa, whose company, Crystal Caviar, provides them with materials and space to work, and is involved in promoting and selling the pieces, most recently through the new ARTSiO Gallery, set up for this purpose. ARTSiO also specialises in studying and confirming the authenticity of Bohemian crystal works and also sources rare crystal sculptures for their clients. ‘Crystal sculptures are a rare commodity, and that is why they are rising in value steadily,’ Marek comments. There are a few reasons for their rarity. One is that it takes several months to complete each sculpture; raw crystal is heated up to 900 degrees Celsius and then cooled in the mould at a rate of one degree per hour, and thereafter hundreds more hours are required to grind and polish the sculpture. Moreover, some of the colours used are hard to obtain and expensive. As a result, not many masterpieces have been produced over the last 40 years. Another factor is that private collectors and museums snap them up quickly. ‘When there is

potential for investment in art, it is often galleries who smell it first,’ Marek comments. ‘Many galleries are now quietly shopping in the Czech Republic for art pieces, and they don’t just buy one or two. Tel Aviv’s Litvak Gallery recently bought more than 10 pieces from Professor Vaclav Cigler and Heller Gallery in New York, among others, have been showing increased activity in buying Bohemian glass sculptures. It is a strong indication that something is “cooking”’. For their part, art buyers are increasingly turning to the private sector with dealer sales making up over 62% of global art sales, while public art auction sales of art, high-end jewellery and decorative arts saw a drop from $20.8 billion in 2015 to $16.9 billion in 2016, according to the European Fine Art Foundation (TEFAF) Report, produced in partnership with online platform Artnet. It is perhaps an indication that better-informed buyers are more confident in their transactions with dealers and galleries, and appreciate the greater price transparency than is found on the art auction floor, where transaction fees can be higher than one might expect. Crystal Caviar is one such company that has benefited from this swing towards private

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BOHEMIAN GLASS ART

sales, and has been in a unique position to observe the increasing value of its Bohemian glass art masterpieces. For example, three pieces of a sculptural bowl, similarly sized but each slightly different, have garnered increasingly higher prices over the years; one was sold for €12,000 in 2008, another fetched double that price in 2015, and the third is now being offered for €110,000 by a collector. Another piece, Pyramid in Triangle, was sold by Gallery Rob Van Den Doel in Amsterdam for €8,000 in 2004. Two similar pieces were sold for €45,000 to an American client in 2015, and for €55,000 to an art dealer in 2017. Of course, there are big investments to be made with the star designers, particularly if they have exhibited internationally and have pieces in public collections. A sculpture by Vlastimil Berànek, valued at $40,000 in 2000, was evaluated and sold for €600,000 in 2016. Another piece was sold for €700,000 in the same year. Two of Berànek’s pieces

have, in the meantime, been acquired by Cafesjian Centre for the Arts in Armenia and the DavidsonGerson Gallery of Glass at The Henry Ford museum in Michigan, USA. ‘I see a lot of future in it,’ Mark Hill says, ‘Simply because Czech glass has been ignored for far too long’. His focus is on post-war pieces at low to midend price points, and he regards Czech glass as being where Murano glass was 20 years ago. ‘We are seeing extremely high prices being paid for Murano glass, both contemporary and vintage designs, but Czech glass has lagged behind internationally, partly because of the hangover of Communism, and people are now realising that.’ While the post-war Czech glass art masters such as Libensky and Roubicek are well sought after by collectors and museums, and fetch high prices, Mark Hill advises, ‘It’s always a good thing to look for the next generation, those who studied under the

masters, but who also have a very strongly defined look of their own.’ He does, however, caution that ‘you should only ever buy something because you like it. Never, ever buy a piece of contemporary art for investment alone, as you may have to live with it for many years.’ In truth, many collectors of Bohemian art glass pieces initially bought them because they liked them, rather than as investments. ‘Owners have these amazing pieces of art at home and enjoy them,’ says Marek Landa, ‘and then are surprised when they decide to sell them, for whatever reason, how much more they can get for their pieces.’ An art form on the ascendant, stunning and rare masterpieces which give ongoing aesthetic pleasure, and the strong possibility of their increasing value: time for a sculpture shopping trip to the Czech Republic?

All works by Vlastimil Berànek. Clockwise from bottom left: Waterlily Bronze; Exhibition at ARTSiO Gallery;

Open Space and Epicenter.

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ARMANDDEBRIGNAC.COM L ’ A B U S D ’ A L C O O L E ST D A N G E R E U X P O U R L A S A N T É , À C O N S O M M E R AV E C M O D É R AT I O N

CHINESE ART

T H E R IS E OF

CHINESE ART

Zao Wou-Ki’s 29.01.64 which established a world auction record price for an oil painting by any Asian artist, achieving $26.1 million.

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Record prices at auction have lead most art professionals to strongly believe that the Chinese market is here to stay and is overall very lucrative. “Now is the time to start collecting Chinese art and antiques”, says Lauren Xandra. November 2017 marked Asian Art in London’s 20th anniversary, showcasing London as a centre of expertise for the finest Asian art, from ancient to contemporary. Highlights included the re-opening of the Sir Joseph Hotung Gallery of China and South Asia at the British Museum, by Her Majesty The Queen, a gallery she first unveiled in 1992. A keen rider and horse lover herself, she was seen marvelling at horse statues from the Tang Dynasty, and was equally enthralled exploring Sir Joseph Hotung’s extensive jades collection on loan to the museum. The gallery now features new displays telling the stories of China and South Asian countries from 5000 BC to the present day, lending heightened visibility to Asian art within the British Museum, the UK’s number one visitor attraction. It is a particularly ripe moment in the global art world for the Chinese art and antique market. The Art Basel and UBS Global Art Market Reports indicates that in the past year, auction sales in China account for 34% of the world total by value, exceeding the US, which recorded 32%, and Britain, which has 18%. Demand outweighs supply Many works of Chinese art were disseminated across the world by missionaries and travelers without recognition of their value, resulting in extraordinarily rich provenance. The Cultural Revolution’s destructive impact on many historic artifacts coupled with the overall delicacy of Chinese art materials means that well-preserved and authentic antiques are increasingly difficult to find. Since 2002, the Law of the People’s Republic of China on the Protection of Cultural Relics allows the lawful circulation of cultural relics bought in auction, helping overseas artwork to return to China and to become the most coveted items in the domestic auction market. Record prices at auction The majority of Chinese art sales take place at open auctions (circa 68% by value), with auctions of Chinese antiques selling valuable Chinese paintings, jade, furniture and porcelains to Chinese audiences who appreciate the heritage and history of these objects. Despite global auction sales of Chinese art and antiques slipping 5% in 2016, totalling $6.7 billion, the top end of the market with lots above $1.5 million reaching a 29% market share in 2016 -- more than double the total two years ago (Antiques Trade Gazette). Record prices at auction have lead most art professionals to strongly believe that the Chinese market is here to stay and is overall very lucrative. Furthermore, few people are aware that the biggestselling modern / contemporary artist at auction is Chinese modernist painter Zhang Daqian, who

generated $354.8 million in auction sales last year -- $31 million more than Picasso, who placed second (Artprice). This November, Christie’s set an auction high of $26.1 million for a work by Zhang’s peer, Zao Wou-Ki. What can be gathered from these prices is a remarkable shift in balance of financial power towards Chinese auctions, particularly extraordinary when we take into account the fact that until 1985, it was illegal to sell art in Mainland China at all. First wave While six of the ten top auction houses are Chinese, the Chinese art auction market is not yet as mature as that of the US and Europe, with industry leaders no more than 25 years old. There is a need for Chinese auction houses to become more globalised to enhance their positioning within these dominant markets. A crucial step in this is Chinese auction houses broadening their domestic brand influence and business presence to the international art world. Duton’s (established 1999) is part of the first wave of Chinese auction houses and is a prime example of a forward thinking art business. Duton’s Chairman, Mr. Du, a leading voice for Chinese art and antiquities, was vastly ahead of his contemporaries with his vision and long-term commitment to expanding his auction house into the UK. The company launched Asian Art in London with a private exhibition for their dedicated collector base who trusts Duton’s masterful sourcing of works and their business integrity. Duton’s Chinese collectors based overseas are able to appreciate the scarcity of certain rare art forms, such as Ming and Qing Dynasty porcelains, and will pay sky-high prices to secure them. Navigating opportunity Historical Chinese objects have long held a prominent position in the UK’s top artistic institutions, but Asian Art in London provides savvy collectors with the unique opportunity to build their own comparably significant archives. Chinese art can be both daunting and deeply rewarding to collect. Examining the condition and provenance of the work is as important as analyzing the quality of the piece, and most domestic auction houses in China don’t have guarantees of authenticity. Moreover, the cost of authentication is fostering a disappearance of certain art and antique categories entirely. Jade often costs more to authenticate than it commands at auction, a burden many art businesses choose not to bear.

When collecting, it is critical to buy from businesses who maintain European industry standards. Duton’s works, for example, are all formally approved by Oxford Authentication, the premier authenticating body for antiques. Pricing fluctuates in the Chinese art and antique market, and the newness of auction houses in China has prompted displays of poor practice, such as swindles in salesrooms with false bidders pushing up prices. Similar issues have been seen in more established markets, and improve with time as domestic businesses develop better checks and balances. Pricing transparency is made more and more possible every day thanks to professional news providers such as Artron.net, Hurun, YangGallery. com and others. So too, increased competition, such as Poly International Auction of China’s Poly Group, a $40 billion state-owned conglomerate, enhances transparency. The prevalence of Asian art expertise in London, with over fifty dealers specialising in Chinese art, Islamic and Middle Eastern art, Indian art, Southeast Asian art, Himalayan and Central Asian art, Japanese art, Korean art, Vietnamese art, export art and contemporary art, provides an opportunity for collectors to build relationships with trusted dealers who can guide them towards creating a deep collection of culturally significant art objects. Take for example the exemplary private collection of US film and television agent, Norman Kurland, which debuted at Eskenazi in Mayfair this month. The collection featured thirty-eight art objects dating from China’s Six Dynasties period (220-581 AD), that were acquired primarily through the well-known gallerist. The collection includes rare examples of Buddhist sculpture from imperial cave temples such as Yungang and Gongxian; unglazed burial figures from the Han Dynasty, China’s second empire, and earthenware figures from the Northern Wei Dynasty, an enriched period for fusion art prompted by the cultural diversity and exchange of ideas taking place along the Silk Road. Eastern works of enduring beauty and relevancy are now more and more central to the fabric of London’s art industry, providing advantageous access to European collectors in an otherwise competitive international landscape. Lauren Xandra is Managing Director of L&X, an arts and luxury marketing firm. Based between London and Zurich, she can be contacted at lauren@ lxconsultancy.com.

An exceptionaly rare large figure of a court lady from the Tang Dynasty.

STAR ALLIANCE

CELEBRATES 20 YEARS

Star Alliance oﬀers a host of benefits for the UGNW traveller such as priority treatment at airport and access to their lounges to spend time away from the crowds at aiprorts.

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Star Alliance returned to Frankfurt, the place of its birth, to celebrate 20 years of “Connecting People and Cultures”, earlier this year for its summer meeting with the CEOs of its 28 member airlines. The meeting was exactly 20 years to the day when its founder members – Air Canada, Lufthansa, Scandinavian Airlines, THAI and United – first stunned the aviation industry with the announcement that they would come together to form the world`s first global aviation alliance, offering worldwide reach, recognition and seamless service to the international traveller. Today, in its 20th anniversary year, it is the world’s largest airline alliance - the network offers more than 18,400 daily flights to 1,300 airports in 191 countries worldwide – with its 28 member airlines, each with their own distinctive culture and style of service, coming together to offer unparalleled access and seamless service across the globe. Benefits for the UHNW Traveller Star Alliance offers a host of benefits for the UHNW traveller and members can enjoy all the advantages of worldwide recognition and benefit, which come with Gold Card Frequent Flyer status, such as: receiving priority treatment at airports around the world, dedicated check-in counters for premium customers, being first on the stand-by list, seamless connections, being first to board and move smoothly through security and immigration - using the exclusive Gold Track priority lanes – as well as spend time at the airport away from the crowds in their lounges. Star Alliance and its member airlines offer access to over 1,000 lounges worldwide, giving passengers a quiet and exclusive space to work or relax before their flight. Round the World Fares.

Star Alliance has been offering Round the World fares for more than a decade. Building on this experience, the Alliance has now added themed itineraries to its Round the World portfolio. In addition to being able to create a journey from scratch, interested travellers can now choose from a range of Round the World themed journeys. These include: World Food, World Wonders, Architecture Hotspots, Nature Trail, Aquatic Wonders, Connecting Cultures, Natural Wonders, Great Hotels, Sports Hotspots, Wine Tasting, Romantic Journey and Luxury Lifestyle.

Travel to the long-established “old country” vineyards of France, Spain and Italy. Compare these with the “new world” flavours of the United States, Argentina, South Africa and New Zealand. And be among the first of your friends to try the best of 21st century Chinese wine successes from the Ningxia region in China.

With the Aquatic Wonders itinerary, you can experience the crashing thunder of Niagara Falls and the diverse beaches of Nadi, Sydney and Miami. Marvel at the Norwegian fjords. Travel to the Amazon, the artery of South America and one of the longest rivers in the world. And marvel at the manmade Panama Canal, offering a short-cut across the centre of the Americas and bringing new-found prosperity to the country it crosses.

For their 20th Anniversary, Star Alliance challenged National Geographic’s Digital Nomad, Robert Reid to take on five unique cultural experiences – from horse riding above the clouds to building himself a home in -50°C, all selected by their five founding member airlines. Moved by Robert Reid’s cultural experiences around the world, they created an itinerary inspired his journey. Stroll around in the charming city of Stockholm, visit on horseback Ushguli, Georgia, one of the highest villages in Europe, explore the floating markets in Bangkok, spend a night in the Arctic near Montreal, get immersed into Native American culture in New Mexico, and watch a Sumo wrestling match in Tokyo When booking these journeys, the Alliance’s online Round the World booking tool “Book & Fly” now allows potential travellers to choose the closest airport to their home as the starting point for their selected themed itinerary.

StarAllaince ofers themed journeys to discover new and old wine regions, (top), the Amazon river (middle) and the beaches of

Full details can be found at www.staralliance.com/en/inspiration

Miami (bottom)

Future plans: 2017 has been an exciting year for Star Alliance – with its 20th anniversary being celebrated with their partners and colleagues internationally. For the next decade, the Alliance is looking to harness digital technology to further enhance the travel experience for customers – providing access to instant information updates online and giving more control over their journey at their fingertips. They will also broaden the Alliance into new geographical areas, expand by member carriers launching new routes and increasing flight frequencies, whilst increasing the reach of their network by adding local and regional airlines. For Further information visit: www.staralliance.com

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STAR ALLIANCE

For example –the wine journey offers you the chance to make new discoveries in some of the world’s best-known wine-growing regions.

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TEAM BRITANNIA

THE WORLD RECORD ATTEMPT THAT LOOKS TO CHANGE THE WORLD Not just a long-standing ambition to break the round the world powerboat record, Team Britannia aims to do it pollution-free, as onboard journalist Clive Tully explains There can be few record-attempting projects like Team Britannia that have been eight years in gestation – indeed, if you add the original aim to break the round the world powerboat record in Spirit of Cardiff (which didn’t quite make it), you’re talking about a dream nearly 20 years in the making! But through all of this, Portsmouth engineer, businessman and Team Britannia Principal Alan Priddy has remained doggedly focussed. “It would have been a lot easier if we were trying to get sponsorship for a sailing attempt,” he admits. “Powerboats don’t seem to have such a broad appeal, particularly when it’s just one racing against the clock.” The official UIM record of 60 days 23 hours 49 minutes has been held by New Zealander Pete Bethune and his boat Earthrace for nearly 10 years, with the original record set by the British boat Cable & Wireless Adventurer – also held for 10 years – which in itself illustrates just how difficult it is compared with sailing records which fall far more frequently. It’s probably best illustrated by Priddy’s latest after-dinner talk entitled “A funny thing happened on the way to the start line” – a light-hearted retelling of the many “now you see it, now you don’t” offers of sponsorship which have come and gone. But despite all the setbacks, Team Britannia’s boat – to be named Excalibur, after the Arthurian legend – is under construction. Indeed, it’s not far off completion – with launching and sea trials anticipated to take place in early 2018, and the record attempt starting from Gibraltar later in the year. While the Hayling Island boatyard building Excalibur has seen a succession of high-profile visitors including TV survival celebrity Bear Grylls, the very recent media visit by a group of Chinese journalists had an immediate and profound effect. Alan Priddy had given the party a tour of Portsmouth’s naval heritage, then whisked them over to ABC Marine to see the boat. “Aren’t you a bit old to be taking on something like this,” asked one of the journalists, probably half Priddy’s age. He modified his view when Alan challenged him to an arm wrestling contest, and beat him – twice! Days later, coverage in the Chinese

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media went ballistic. One of the stories, syndicated through the national news agency Xinhua appeared in numerous print and online publications. In that one week, 37 features about Team Britannia were assessed by independent media monitoring service Meltwater to have attained a reach of nearly 40 million! On a somewhat lesser scale, the last few years have also seen substantial press coverage for Team Britannia – all in all an amazing achievement for a boat not yet in the water. The core of it has been in UK national newspapers, but a lot further afield, including the USA and Canada, Australia, not to mention throughout Europe. And now, China. Notwithstanding that frisson of national pride that wants to see the round the world powerboat record back in British hands, there’s no doubting the additional interest created by Clean Fuel, which is central to the attempt, and developed by Alan Priddy in parallel with the boat project. Mixing water with diesel might sound like a recipe for seized cylinders, but do it right, and you have the means to cut pollution dramatically. Particulate Matter (known as PM) and various Nitrous Oxides are the stuff of smog in every major city throughout the world, and governments know that this pollution is responsible for thousands of chronic illnesses and premature deaths every year. Banning diesel vehicles could be one drastic solution, but the problem would vanish if they were all burning the water in diesel mix of Clean Fuel. It all comes down to an emulsifying agent which combines with the water and diesel in a patented mixing process. “Team Britannia will showcase the benefits of Clean Fuel by mixing it for use as we go,” explains Priddy. “Our reverse osmosis watermaker – standard issue on many ships and boats – will create potable water from seawater. The Clean Fuel emulsion, water and diesel are piped into the mixing unit – about the same size as a small sewing machine – and the resultant blend pumped into a small holding tank ready to feed the two Fiat Power Train engines. Mixing on the fly gives

us the maximum range possible from each 30,000 litres fill of fuel. Data will be fed to Team Britannia’s website so people can track fuel usage, engine temperatures and lots more, which we hope will be of interest to scientists and techno-geeks alike.” At the time of writing, Clean Fuel Ltd has just been engaged as consultant for an Italian company building a new fleet of 21st century water taxis to operate in Venice. While Team Britannia and Clean Fuel Ltd are two distinctly separate entities, they have their areas of common interest, which extend to investment opportunities, and intriguingly, what follows after the round the world record attempt. “As far as Team Britannia is concerned, any investors would benefit from the long-term plans to expand the adventure into a series of races,” explains Team Britannia financial director Paul Stewart. “And once proven, the boat itself has the potential for similar vessels to be built for military, search and rescue, customs and law enforcement roles as well as luxuriously kitted out for private use. In just over two years, incredible scientific advances, all now patented, have made Clean Fuel Ltd world leaders in emulsified diesel fuel for the marine and industrial sectors.” For potential overseas investors, Stewart is also well placed to navigate the intricacies of applying for a Tier 1 investment visa, the essential documentation for anyone looking to invest into the UK. “A Tier 1 visa is required if a foreign national wants to invest £2m or more in the UK,” he says, “but it also dramatically shortens the time it takes for those looking to be granted a UK passport. My legal team in London – which has many different language speakers including Chinese – provides full support throughout the stages in the process, using the rules linked to UK investments.” While Team Britannia has shown remarkable resilience in simply getting their record attempt to the start line, there’s no doubt that a lot will fall into place in early 2018 when the boat is finished, and in the water. “Trying to sell a concept when there’s nothing tangible has been difficult,” admits Alan Priddy. “But even with the boat under construction, everyone who’s laid eyes on it has been amazed at the size, and the engineering excellence. It’ll make all the difference once she’s afloat, and people can actually see how amazing she is.” www.teambritannia.co.uk

GRANT

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THE PRINCE ALBERT II OF MONACO FOUNDATION

ACT NOW

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The Prince Albert II of Monaco Foundation The Foundation, created by His Serene Highness Prince Albert II of Monaco, has been active since 2006 in the following domains - climate change and renewable energies, biodiversity, water and the fight against desertification, and has been supporting projects in specific geographical regions such as the Mediterranean Basin, the Polar Regions and the Least Developed Countries, in order to promote environmental protection and sustainable development. Why Support the Prince Albert II of Monaco Foundation? The Foundation’s goals are to raise awareness at both community and State levels of the impact of human activities on the natural environment, to promote more environmentally-friendly behaviours and to encourage innovative solutions, including through awards and grants. An Endangered Planet • In eight months, humanity consumes all the renewable natural resources that the planet can produce in one year. • The global temperature risks increasing by 4.8°C by 2100. • 43% of the world population will face a water shortage by 2080.

Together, let’s take action to protect our planet for present and future generations

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Edmiston – you have our full attention. Whatever you need, Edmiston is ready for action. Brokerage, charter, yacht management, new construction or crew. When it comes to yachting, come to Edmiston.

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Articles inside

The Rise of Chinese Art Art

The Prince Albert II of Monaco Foundation

Star Alliance Luxury tavel

Team Brittannia Intrepid adventure

Bohemian Glass Art Art

Edmiston - The Business of Yachting Yacht Management

Gran Turismo Experience Lifestyle

In Conversation with Ross Beattie, owner of Thirty Nine. Lifestyle

Icon Capital Reserve - ICO’s and the Bitcoin Bubble: What hapens Next? Asset management

Cavendish Family Office - Blockchain & Cryptocurrencies Asset management

BlockEx Asset management

In Conversation with Sebastien Besson, CEO of Armand De Brignac Lifestyle

Interview with Her Excellency Mrs Genta Monaco