ICFM Issue 158/19 by WideWorldMedia

ISSUE: 158/19

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In this issue: News, Reviews & Business Views Motoring: Bentley Bentayga V8 Design Series Gadgets & Gizmos Travel: Lisbon

Protecting sensitive information THREE WAYS FINANCE AND LAW FIRMS CAN STAY ONE STEP AHEAD OF CYBERCRIMINALS IN 2019 In Conversation: Mehmet Gün founder, Gün + Partners

DEEP & FAR Attorneys-at-Law

Founded in 1992 by CF Tsai, Deep & Far law firm has successfully risen to be one of the top firms in its country of practice. The firm

Deep & Far are proud to be recognised as one of ICFM 100 Leading Firms of 2018

deals with all areas of intellectual property rights (IPR) including patents, trademarks, copyrights, trade secrets, unfair competition, and/or licensing, counseling, litigation and/or transaction thereof. Such is its expertise in the field that it has often been one of the largest sources from which foreign filing orders originate. “It is our philosophy to provide competent legal services that other firm cannot comparably provide,” says Tsai. “Our professionals own a relatively higher percentage of acquiring double backgrounds including technology and law.” Deep & Far employs highlyskilled legal professionals who have achieved significant expertise in their area of practice.

SPECIALISTS IN: I N T E L L E C T UA L P R O P E R T Y L AW C O M P E T I T I O N L AW C O R P O R AT I O N L AW DEBT COLLECTION REAL ESTATE C R I M I N A L L AW

13th F1., No. 27, Sec. 3, Chung San N. Rd. Taipei 104, Taiwan, R.O.C. Tel:+886-2-2585-6688 Email: cft@deepnfar.com.tw

www.deepnfar.com.tw

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Contents In this issue... NEWS 4 IN CONVERSATION: Mehmet Gün, founder, Gün + Partners

BUSINESS FEATURES

16 Welcome... In this edition, Christiaan van der Valk from Sovos talks about the issues caused by differing VAT rates and trading overseas and what impact these can have on businesses. He gives a great insight into how current economic conditions are leading to an evolution in the way in which VAT and other aspects of business financials are being reported and audited by governments, an evolution that began in Latin America and is having implications on large-scale European economies such as Italy, for example. Whilst there is an absence of faith in traditional lenders leading to a reluctance from consumers to use them there is also a lack of willingness on the part of banks to lend. However, appetite for credit amongst consumers is at an all-time high. This has led to alternative lenders stepping into the gap left by the sluggish retail banking sector. Rob Cottingham of Duologi discusses the evolution of the consumer lending market as well as how this might impact traditional banks and the wider finance market. Friday 8th March was International Women’s Day – an event celebrating the social, economic and political achievements of women. It is also an excellent time to ponder on how far women have travelled in their quest to succeed, particularly when it comes to the issue of equality at work and at work places. Alpa Bhakta from Butterfield Mortgages Limited feels there is still a long way to go for women to achieve parity in business. Speaking from her expertise as a senior professional in finance, she lists how companies – financial but applicable everywhere – can achieve equality and diversity without sacrificing merit. Doubtless, there is so much for businesses to gain from ensuring a level playing field at the workplace, the least being employees who are assured of fairplay at all times. Enjoy. Isaac Hamza - Editor

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Protecting sensitive information

Blow hot, blow cold

Mind the VAT Gap

Europe gets a boost in time

Fighting insider threats

Rise of new lending models

Fact stronger than fiction

Tough on illegal cash

Time to think money

Equal opportunities

100 LEADING LAW FIRMS

TOP 50 GLOBAL LAW EXPERTS 2018

LIFESTYLE City – Lisbon

Hotel – Palácio Belmonte

Adventure – Aqueduto Das Aguas Livres 54 Gadgets & Gizmos

Motoring – Bentley Bentayga V8 Design Series

Profile – Mohan Reddy

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EDITOR editor@intercontinental-finance.com DESIGN & PRODUCTION ICD - www.imagecreativedesign.co.uk SUBSCRIPTION DETAILS

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GLOBAL NEWS

Intercontinental News UNITED STATES

CHINA

Ferrero to acquire Kellogg’s cookies and fruit snacks businesses for £1B

China included in Bloomberg Barclays Global Aggregate Index

Giovanni Ferrero, executive chairman, Ferrero Group

Global confectionary group Ferrero has entered into a definitive agreement with multinational food-manufacturing company Kellogg’s to acquire its cookie, fruit and fruit-flavoured snack, ice cream cone and pie crust businesses for $1.3 billion. These businesses generated sales of approximately $900 million in 2018. Ferrero will acquire a strong portfolio of brands in the cookie category, including the iconic cookie brand Keebler, top selling onthe-go Famous Amos cookies, the premium family cookie brand Mother’s, and Murray sugar-free cookies, as well as Little Brownie Bakers, supplier of cookies to the Girl Scouts. It will also acquire the Kellogg fruit snacks business, including Stretch Island and Fruity Snacks along with Keebler’s ice cream cones and pie crust products. Since 2017, Ferrero has acquired several U.S. brands and businesses, and, with this transaction, Ferrero will enter into new strategic product categories and will further strengthen its position in the North American market. Ferrero will also acquire from Kellogg six owned U.S. food manufacturing facilities located across the country in Allyn, Washington, Augusta, Georgia, Florence and Louisville Kentucky, and two plants in Chicago, Illinois; as well as a leased manufacturing facility in Baltimore, Maryland. Giovanni Ferrero, executive chairman, Ferrero Group, said: “Kellogg Company’s cookie, fruit snack, ice cream cone and pie crust businesses are an excellent strategic fit for Ferrero as we continue to increase our overall footprint and product offerings in the North American market. “We have great respect for Kellogg, its legacy and values, and are proud that Kellogg has chosen Ferrero as a good home for these businesses.” The transaction, subject to customary closing conditions and regulatory approvals, is expected to close in the second half of the year.

Chinese RMB-denominated government and policy bank securities has been added to the Bloomberg Barclays Global Aggregate Index starting April 2019 and will be phased in over a 20 month period. The inclusion is a result of the completion of several planned operational enhancements that were implemented by the People’s Bank of China (PBoC), Ministry of Finance and State Taxation Administration. When fully accounted for in the Global Aggregate Index, local currency Chinese bonds will be the fourth largest currency component following the US dollar, euro and Japanese yen. Available data as of 24 January, 2019 indicate the index would include 363 Chinese securities and represent 6.03 per cent of a $54.07trillion index upon completion of the phase-in. Bloomberg Chairman Peter T. Grauer said: “The announcement represents an important milestone on China’s path towards more open and transparent capital markets. “With the inclusion of China in the Global Aggregate Index, China’s bond market presents a growing opportunity for global investors.” The PBoC, Ministry of Finance and State Taxation Administration have completed a

number of enhancements that were required for inclusion in the Global Aggregate Index in order to increase investor confidence and improve market accessibility. These include the implementation of delivery v. payment settlement, ability to allocate block trades across portfolios, and clarification on tax collection policies. Steve Berkley, global head of Bloomberg Indices said: “It’s a pivotal time in the development of China’s markets and inclusion in our Global Aggregate Index is significant for facilitating Chinese market access for global investors. “Our phased approach to inclusion is designed to give investors ample time to prepare for what we believe will be a positive impact on the investment community.” In addition to the Global Aggregate Index, Chinese RMB-denominated debt will be eligible for inclusion in the Global Treasury and EM Local Currency Government Indices starting April 2019. Bloomberg will create ex-China versions of the Global Aggregate, Global Treasury and EM Local Currency Government Indices for index users who wish to track benchmarks that exclude China.

CANADA

Noverco to acquire Valener for C$1.2B Noverco entered into a definitive agreement to acquire, through its whollyowned subsidiary Noverco Acquisition, Valener for C$1.2 billion. The acquisition will be implemented by way of a statutory plan of arrangement under the Canada Business Corporations Act and is subject to customary closing conditions including approval by the Superior Court of Quebec. Noverco indirectly owns 71 per cent of Energir, which is the main distributer of natural gas in Quebec and is involved in developing renewable, liquefied and compressed natural gas, solar and wind power and hydroelectricity. Energir also operates in the state of Vermont. Valener holds the remaining 29 per cent interest in Energir.

Noverco is a holding company that offers power production, gas storage, and marketing services. Caisse de depot et placement du Quebec, Fonds de solidarite FTQ, British Columbia Investment Management Corporation and Université du Québec Pension Plan, through TRENCAP, own 61.1 per cent of Noverco while Enbridge owns the remaining 38.9 per cent. Valener is a TSX-listed company that acts as a public investment vehicle in Energir, which allows Valener to offer its shareholders a diversified and regulated energy portfolio in Québec and Vermont. As a strategic partner to Energir, Valener invests in Energir's growth and wind power production.

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GLOBAL NEWS

SWITZERLAND

Appointments EDWARD NOONAN

Glencore Raglan nickel operation; Glencore Katanga copper mine; Glencore Altonore copper production casting wheel Chile

Glencore in refinancing and extension of its revolving credit facilities Glencore announced the refinancing and extension of its revolving credit facilities (the ‘Facilities’) effective 24 May 2019. The short-term Facilities were initially launched at $8billion and closed substantially oversubscribed, raising $10.55billion, reflecting strong support from Glencore's broad group of relationship banks. Glencore scaled back subscription levels and ultimately increased the size of the Facilities to $9.77billion, up from the $9.085billion signed in 2018. A total of 53 banks committed to the Facilities, including 31 mandated lead arrangers and bookrunners. The longer-term $4.65billion revolving credit facility (voluntarily reduced from USD $5.11billion) was amended and extended to 2024 (5 years), including reinstating the two one-year extension options.

The new and extended facilities are for general corporate purposes, comprising a $9.77billion 12-month revolving credit facility with a 12-month term-out option at the borrowers discretion, and a 12-month extension option; and $4.65billion 5-year revolving credit facility with two 12-month extension options. ABritish–Swiss multinational commodity trading and mining company with headquarters in Baar, Switzerland, and a registered office in Saint Helier, Jersey, Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 90 commodities. The Group's operations comprise around 150 mining and metallurgical sites, oil production assets and agricultural facilities. As of 2015, it ranked tenth in the Fortune Global 500 list of the world's largest companies.

UNITED KINGDOM

Law firm leads the way on equality 100 years on A law firm has – helped by the firm’s announced a groundcommitment to more breaking move that flexible working for all will see its practice staff, said CEO Ian Carr. becoming female-led “We have a great for the first time in its pool of talent and 113 year history. those who have the Starting April, the Left to right - Emma Woollard, Zoe Hodge, Georgie ability and want to Ipswich-based firm Hall, Vanessa Bell, Georgina Rayment make the commitment Prettys will have five women are helped to become partners after promotions for two key members the best they can be. of the team and a further external appointment. “At Prettys, we allow people to work flexible Prettys currently has three male partners. hours and work from home. This helps our The pioneering move comes as the legal employees ease themselves back into work profession celebrates 100 years since women after maternity leave. were first allowed to practise law. While women “Having a family is challenging and the now play a bigger role in legal practices in 2019, traditional model of women having to take only 18 per cent of partners at the UK’s biggest time away from the business can impact firms are women. on progression in the field.” The breakthrough at Prettys comes as a The three women being made partners in result of the talent and dedication of their female April are Georgina Rayment, Vanessa Bell and lawyers – many of them working mothers Emma Woollard.

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Edward Noonan joined global specialty insurer StarStone Group as it new chairman. Noonan brings more than 30 years of industry experience to StarStone. He served most recently as chairman and CEO of Validus Group, a position he held from 2005 to 2018. Under Noonan’s leadership, Validus Group experienced significant success and growth, and ultimately was acquired by AIG in 2018. John Hendrickson, group CEO, StarStone, said: “This is a pivotal moment for StarStone. As we reposition StarStone to deliver profitable growth, Ed brings a wealth of knowledge.”

MICHAEL A. CABANAS Michael A. Cabanas, managing director and head of relationship development for Fiduciary Trust International of the South, has been appointed regional managing director for the firm’s South Florida office in Coral Gables. Lawrence A. Sternkopf, president and chief operating officer of Fiduciary Trust Company International, said: “This is a natural step for Michael given his indepth knowledge of South Florida and the wealth management needs of the region’s residents.” With over $70billion in assets under administration and management as of 31 December 2018, the firm specialises in strategic wealth planning, investment management and trust and estate services, as well as tax and custody services.

EVA BELLISSIMO Eva Bellissimo has joined the board of directors at Canadian mining company Euro Sun Mining. Bellissimo is a partner with McCarthy Tétrault, where she is co-leader, Canada Mining of McCarthy Tétrault’s Global Metals & Mining Group. Her practice focuses on M&A, corporate finance and securities law compliance matters. With over 17 years of experience in the mining industry, she has been a trusted advisor to numerous companies in the industry. Scott Moore, CEO, Euro Sun, said: “We are pleased to have attracted someone of Eva’s experience and depth of knowledge in the mining sector. She has acted on many significant transactions, specifically in the gold sector and will be a valuable addition to the Board. We are excited to add her to the Euro Sun team.”

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GLOBAL NEWS

Intercontinental News CAMBODIA

GERMANY

CASH REMAINS KING, BUT CARD-BASED PAYMENTS SET TO DOUBLE IN CAMBODIA BY 2022

Study shows negative impact of Basel IV

Cash still plays dominant role in Cambodia, primarily due to high unbanked population, inadequate banking infrastructure, limited public awareness of electronic payments and low acceptance of payment cards at merchant outlets. However, the concerted efforts of the Cambodian government and the National Bank of Cambodia (NBC) are expected to gradually increase the usage of payment cards to 2022, says data and analytics company GlobalData. The company’s latest report, ‘Payments Landscape in Cambodia: Opportunities and Risks to 2022’, reveals that currently the use of payment cards is mostly limited to cash withdrawals at ATMs, with little use for payments at merchant outlets. Kartik Challa, payments analyst for GlobalData, said: “One of the major challenges to the growth of card-based payments in Cambodia is the practice of charging additional fees in the form of surcharges by merchants.” However, international scheme providers such as Visa and Mastercard, along with commercial banks, are educating customers and merchants of the benefits of card-based payments and are working to remove the practice of surcharging. The report states that the Cambodian payment card market is dominated by debit cards, which accounted for 95.6 per cent (2.1million) in terms of the number of cards in circulation and 65% of the total card payments by value in 2018. The overall card payments transaction value is forecasted to grow at a compound annual growth rate of 20 per cent from KHR1.28tn ($318.1million) in 2018 to KHR2.65trillion ($659.7million) in 2022.

The output floor’s impact A current study by the therefore needed to be softened Association of German Banks considerably in implementation shows that European banks at European level. Otherwise are more heavily burdened by adverse consequences for the Basel IV reform package lending to retail customers and than hitherto assumed. Mainly businesses were inevitable. To to blame for this is the soavoid these, certain low-risk called ‘output floor’ that sets portfolios could, for example, a minimum level of capital for Christian Ossig, CEO, Association of German Banks be exempted from application banks. This floor is to be applied of the output floor or the output floor could by banks that have their own supervisorbe applied in a sensible manner. approved risk-measurement models. Several association member banks took The new Basel rules are to come into effect part in the Basel IV quantitative impact study. on 1 January 2022 and have to be transposed Owing to their size and business models, they into European law beforehand. represent a broad spectrum of corporate and Christian Ossig, CEO, Association of retail customer relations in Germany. German Banks, said: “Our fears have Founded 1951 in Cologne as the been confirmed. The output floor leads to successor of the pre-war ‘Centralverbandes significantly higher capital requirements des deutschen Bank- und Bankiergewerbes’ in all the loan portfolios we looked at. This (Central Association of the German Banking makes residential real estate lending as and Financing Industry), The Association of well as lending to small and medium-sized German Banks (Bundesverband deutscher enterprises (SMEs) more difficult and more Banken) is the association of private banks expensive.” in Germany and the main lobby group for The association study examined Germany's financial sector. In the traditional residential real estate exposures, SME pillar system of the German banking exposures, exposures to project finance, industry this represents all banks that have e.g. in the renewable energy sector, and evolved from merchant banks unlike the commercial real estate exposures. co-operative branch (like credit unions) or “The low-risk German residential real regional state banks (German public banks). estate lending business is hit particularly The association is a member of the Central hard,” Ossig added. The fact that the average Credit Committee governing the banking risk weight more than doubled (+125 per cent) industry in Germany and a member of the was unacceptable and had to be avoided at European Banking Federation. all costs. UNITED KINGDOM

ANNA, GLEIF ‘go-live’ date on ISIN LEI Initiative The Association of National Numbering Agencies (ANNA) and the Global Legal Entity Identifier Foundation (GLEIF) new initiative to start linking International Securities Identification Numbers (ISINs) and Legal Entity Identifiers (LEIs) for the global financial industry has been activated. Created to help improve transparency of exposure by linking the legal issuing entity (Issuer) to their issuance of securities, the initiative will also address some of the regulatory requirements under the Prospective Directive, the CSDR and SFTR. Over the past nine months, ANNA and GLEIF have worked together on technical

developments on how the new global initiative will map ISINs to their corresponding LEIs. Starting April, a consolidated view of ISINLEI links provided by National Numbering Agencies who have opted into the initiative will be provided to the GLEIF by the ANNA Service Bureau (ASB). This published ISIN-toLEI mapping will be made freely available to all without restriction on the GLEIF website. Eleven NNAs have already opted in from the start, with many expected to follow in the coming months. The initiative underlines ANNA’s and GLEIF’s commitment and mission to promote the use of standards, including the two ISO standards used in this initiative: ISIN (ISO 6166) and LEI (ISO 17442).

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GLOBAL NEWS

UNITED KINGDOM

Banking industry prevented £1.66B of fraud in 2018 The finance industry prevented £1.66billion of unauthorised fraud during 2018, effectively stopping £2 in every £3 of attempted unauthorised fraud, according to the latest report, Fraud the Facts 2019, from UK Finance. During the same period, a total of £1.2billion was stolen by criminals committing both authorised and unauthorised fraud. Industry research suggests that the theft of personal and financial information through social engineering caused by data breaches outside the financial sector was a major contributor to the fraud losses. Stolen data is used to commit fraud both directly and indirectly. There were several high-profile data breaches involving significant brands during 2018. Katy Worobec, managing director of economic crime at UK Finance, said: “Fraud is a crime which poses a major threat to us all – it can have a devastating impact on victims and the money stolen funds even more damaging crimes such as terrorism, drug trafficking and people smuggling. “Every business, from online retailers to social media companies, as well as the

public sector, has a duty to work together to beat fraud and prevent stolen data getting into the hands of criminals. “Last month, the finance industry and consumer groups agreed a voluntary Code which will increase protection for customers from authorised push payment scams. It delivers a significant commitment from signatories to reimburse victims when the customer has met the standards expected of them under the Code. “At the same time the industry continues to fight fraud on every front to protect customers and prevent this kind of crime – investing in advanced security systems and new ways to track stolen funds, assisting law enforcement in tackling the criminals and supporting the government in improving the ways in which intelligence is shared.” The data published by UK Finance covers both unauthorised and authorised fraud. A trade association for the UK banking and financial services sector, formed on 1 July 2017, UK Finance represent more than 250 firms in the UK providing credit, banking, markets and payment-related services.

SAUDI ARABIA

BRIEFS REGULATOR MUST PROVIDE ROBUST EVIDENCE TO SOLICITORS DISCIPLINARY TRIBUNAL The solicitor profession maintains exceptionally high professional standards in the interests of their clients, the public and the rule of law, the Law Society of England and Wales has said as the Solicitors Disciplinary Tribunal (SDT) announced it will apply to adopt the civil standard of proof when it hears cases brought by the regulator. Law Society of England and Wales president Christina Blacklaws said: "Solicitors are highlytrained, quite rightly highly-regulated, and are held to exacting professional standards. When someone falls short of these rigorous standards there are robust processes to hold them to account. “The high success rate for prosecutions at the SDT – 98 per cent in 2015-16 – shows the Solicitors Regulation Authority (SRA) has been perfectly able to bring cases meeting the criminal standard of proof 'beyond reasonable doubt’. "We reflected our members' views in our response to the tribunal's consultation, together with the case law that supports the tribunal in establishing facts on the basis that they are beyond reasonable doubt, so it is disappointing that the Solicitors Disciplinary Tribunal (SDT) intends to move to a standard of proof that is merely ‘in the balance of probabilities’. "There is an inequality of arms between an individual solicitor and the well-resourced regulatory body, and so the SDT’s assurance that it will continue to require the regulator to meet a high standard of proof where any misconduct has been alleged is reassuring. “Retaining a solicitor majority on SDT panels, as the Law Society recommended, will ensure a range of legal expertise continues to inform the tribunal’s decision-making.’’

FURTHER RELIEF NEEDED FOR SMALL AND MEDIUM-SIZED BANKS IN EUROPE

Saudi Aramco to acquire 70% stake in SABIC for $69B Saudi Aramco signed a share purchase agreement to acquire a 70 per cent majority stake in Saudi Basic Industries Corporation (SABIC) from Saudi Arabia’s sovereign wealth fund Public Investment Fund (PIF) in a private transaction for SAR259.12billion (equivalent to $69.1billion. The remaining 30 per cent publicly-traded shares in SABIC are not part of the transaction with Saudi Aramco having no plans to acquire these remaining shares. The share purchase agreement was signed on 27 March 2019. The transaction is subject to regulatory approvals and other customary closing conditions. Headquartered in Riyadh, Saudi Arabia, SABIC has global operations in over 50 countries with 34,000 employees. It has consolidated production volume across its various business

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units of 75 million metric tons, recorded net income of $5.7billion, annual sales of $45billion, and total assets of $85billion in 2018. The acquisition is in line with Saudi Aramco’s long-term strategy to drive growth through an enhanced downstream portfolio by increasing global participated refining capacity from 4.9million to 8-10million barrels per day by 2030, of which two-three million barrels per day will be converted into petrochemical products. This downstream portfolio will consume significant quantities of Arabian crude oil. Amin Nasser, president & CEO, Saudi Aramco said: “This transaction is a major step in accelerating Saudi Aramco’s transformative downstream growth strategy of integrated refining and petrochemicals. SABIC is a worldclass company with an outstanding workforce and chemicals capabilities.”

The European banking associations of Austria, Croatia, Denmark, Germany, Italy, Luxembourg, Poland, Slovakia and Slovenia find that for small and medium-sized banks, in particular, the high degree of financial regulation is extremely onerous and disproportionately costly. More than 80 per cent of small and medium-sized banks in Europe are located in these associations’ home countries. Even though the EU banking package has introduced some initial measures to relieve the strain on these banks, further action is needed. As the nine European banking associations explain in a joint position paper, this applies, among other things, to the reporting regime and remuneration requirements. The aim is not to undo sensible regulation, the banking associations stress: the same capital and liquidity requirements should continue to apply for the same risks. But a number of measures neither make good sense given the size of the banks involved, nor do they contribute to financial stability. Costs are clearly out of all proportion to the associated benefits.

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IN CONVERSATION

In conversation....

Mehmet Gün FOUNDER, GÜN + PARTNERS MY NAME IS MEHMET GÜN AND I AM THE FOUNDER OF GÜN + PARTNERS, ONE OF THE OLDEST AND LARGEST BUSINESS LAW FIRMS IN TURKEY. Despite being born into extreme poverty in rural Anatolia where my father was a tailor, and losing him at a very early age, I strived to gain an education, qualify as a lawyer and at 26 years old, I established what is now of one of Turkey’s top law firms. Over many years as a lawyer, I helped develop modern IP law in Turkey and advised the Turkish Parliament commission on the Industrial Property Act. I am passionate about access to justice and the Rule of Law and established two NGOs – The Better Justice Association and The Istanbul Arbitration Association to work for better access to justice and to reform the judicial system. I have also written several books including Advancing Turkish democracy through the rule of law and public accountability; From the Steppes of Anatolia to the World of Global Law, an autobiography; The Report for Quality in Judicial Services and the Elements of Quality for TÜSIAD, the Turkish Industrialist and Businessmen Association; and Better Justice Association, the Proposal for the Establishment of a Higher Judicial Council Structure to Ensure the Independence of the Judiciary.

GÜN + PARTNERS

I founded Gün + Partners in 1986. Based in Istanbul, we now have offices in Ankara, Izmir, and associates in Turkey’s major commercial centres. We provide transactional, advisory and dispute resolution services to local and international companies throughout Turkey and worldwide and are widely-regarded as one of the world’s leading IP law firms. Our core areas of expertise include intellectual property, corporate and commercial, and dispute resolution. We

represent clients in numerous industry sectors with a particular focus on life sciences, consumer goods, TMT, manufacturing, insurance and reinsurance, energy and natural resources, real estate and infrastructure.

USP

We are an independent law firm managed to the highest international standards providing a bespoke service to clients. Our high-quality offering and individuals within the firm are reflected in our Tier 1 rankings in all key legal and industry directories where we have been described as a ‘market powerhouse with a stellar list of multinational clients’. In addition to numerous international awards, we were recently chosen as “Patent Firm of the Year” in Turkey by Global IP Awards. We are also taking steps to empower women in our firm with majority of our partners being female. We have the right policies and programmes in place to establish gender equality in the firm and are taking important steps to increase gender diversity by providing senior-leadership support to advance attorneys’ careers and by offering programmes that provide flexibility and address major work-life balance issues. Our female lawyers have top level positions at international associations such as the International Bar Association, the European Communities Trade Mark Association, the Association of European Trade Mark Owners, and International Technology Law Association.

ROLE AS FOUNDER

I want to be more than just a lawyer. I would like to be a role model for other lawyers, to mentor them, coach them, enabling them to be more successful than I am. I am committed to opening doors for a more inclusive, peaceful and sustainable tomorrow in Turkey, creating conditions so

everyone has the chance to succeed and prosper economically in this changing world. I feel responsible for putting something back into society and would like to improve civil liberties and social justice in Turkey by creating lasting solutions to judiciary problems, and challenges facing the rule of law. Through philanthropy and the two NGOs, I aim to support change, nurture progress, and contribute to making the world a better place, and make a meaningful and lasting difference in Turkey.

MANAGEMENT STYLE

The combination of Anatolian values, ethical codes and the sense of responsibility for my family that I took on at a tender age are embedded in my work ethos and relationship with fellow colleagues. I always seek to treat others with respect and endeavour to provide a work environment that empowers them to develop and progress in their career.

CHALLENGES

The inefficiency of the judiciary is the main challenge with civil disputes taking too long. For example, a basic unfair competition case takes around 15 years to resolve and the average commercial cases in first instance courts in Istanbul takes around four to five years with judgments and reasons being far from satisfactory. Administrative courts fail to promptly and properly uphold the rule of law over the government and also the state’s activities. These difficulties hinder the development of the legal profession but also offer enormous opportunities.

2018-19

Difficulties of the current state of Turkish economy and the government’s precautions reduced our growth rate in 2018; despite that we still managed to grow by eight per cent. We expect 2019 to be more difficult as the economy is contracting, which may reduce our growth rate by three to five per cent in

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IN CONVERSATION

2019. We will use this as an opportunity to review and improve our systems and increase our productivity. We will place emphasis on increasing our IT based solutions including through the use of AI. For me personally, to continue being a dedicated seeker of justice and use all within my means to transform Turkey’s legal and judicial system.

AIM, GOALS AND ACHIEVEMENTS

As a firm, we have established ourselves as a role model among other law firms and lawyers in Turkey. We will work to transform the legal profession by sharing our knowledge and technology know-how to our colleagues in Turkey and abroad. We will also work hard to improve our sector. These are the two essential elements for our further growth. We have also developed a bespoke law firm management software named Günce, meaning both ‘the Gün Way’ ‘Agenda’ and ‘Memory’. Günce has become the backbone of the firms’ continuous development, which we expect to launch in the market this year. I am keen to transform the legal profession in Turkey as I believe it is the lawyers that will transform society and the nation. I want to establish a legacy that my peers can use as an example. For my own part, I strive to leave a legacy of a law firm that survives beyond its founder. My other vision is more patriotic in a sense but also for the society. I would like Turkey to evolve to a state where the rule of law prevails and then successfully advocate for democracy all over the world. I believe that Turkey, when the rule of law overcomes its current problems, could offer solutions to most of the conflicts that prevent the region and then the world from being a peaceful place. Thus, the most important goal I currently have is establishing a proper rule of law in Turkey. l

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CYBERCRIME

Protecting sensitive information THREE WAYS FINANCE AND LAW FIRMS CAN STAY ONE STEP AHEAD OF CYBERCRIMINALS IN 2019 Finance and law firms handle some of the most sensitive data in the world, including details on upcoming merger and acquisition (M&A) deals, patent filings that expose intellectual property and other trade secrets, and private company financials. Perimeter defenses like firewalls and antiviruses notwithstanding, to stay ahead of the cybercriminals in 2019, there are a number of steps such firms can take to harden their cybersecurity. Ian Raine

GIVEN THE TREASURE-TROVE OF INFORMATION FINANCE AND LAW FIRMS HANDLE, IT IS NO WONDER THEY ARE PERENNIALLY BEING TARGETED BY CYBERCRIMINALS AND OTHER BAD ACTORS SEEKING TO GET THEIR HANDS ON SENSITIVE DATA. In the case of the Panama Papers and Paradise Papers attacks, the bad actors succeeded spectacularly, hitting a jackpot of privileged information. To minimise the tremendous reputational, financial, and other collateral damage that successful attacks like these can cause – not just to clients whose information

has been exposed, but to the firms who were supposed to be safeguarding it – finance and law firms have been rapidly strengthening their defenses. Yet, just as fast as they deploy new security measures, cybercriminals find a new way around or through them. For example, perimeter defenses like firewalls and antivirus are no longer sufficient when cybercriminals can use phishing techniques to gain a perfectly valid set of user credentials that lets them ‘walk through the front door’ and readily access all the content that the unknowingly compromised user is allowed to access.

To help stay ahead of the cybercriminals in 2019, there are a number of steps finance and law firms should take. The following three suggestions provide a good starting point for any firm that wants to harden their cybersecurity.

Embrace AI

As mentioned above, social engineering techniques like phishing have rendered traditional perimeter defenses insufficient. Today, 91% of cyberattacks start with a phishing email. Worse, once a breach has occurred, it can be months before it is detected. According to one study, the average breach goes undetected for 101 days.

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Working under the assumption that a breach is the new norm, artificial intelligence (AI) comes into play. AI-powered security can detect abnormal behaviour that indicates a potential attack by using machine learning to analyse millions of transactions within a document management system (DMS), typically where finance and law professionals store their data. This data set helps determine normal and abnormal user behaviour over time for how each professional within the firm accesses documents. In creating a unique ‘behavioural fingerprint’ for each professional, AIpowered security might learn that it’s perfectly normal for Lawyer X to download dozens of files from multiple matters, but very unusual for Lawyer Y to do so – and so it would raise a red flag for Lawyer Y as soon as it spotted this type of aberrant behaviour occurring, while leaving Lawyer X alone. This ability to distinguish between normal and abnormal behaviour helps identify potential threats as soon as they occur while minimising productivity-damaging ‘false alarms’. In practice, this means a cybercriminal using phished credentials to masquerade as Lawyer Y is quickly spotted and halted, while Lawyer X can get on with his or her busy day.

Make need-to-know security the default

Gone are the days when firms could operate with an optimistic, open security model

CYBERCRIME

that allowed employees access to any files within the firm’s DMS. To minimise the potential damage that a breach might cause, firms need to deploy need-to-know security across the firm, which ensures that access to sensitive client information is limited to only those professionals who truly need to have access to it. Firms should aim for a need-to-know security approach that can segregate content and create ethical walls in a scalable manner without costly access control cascades, document re-files, or content re-indexing that can drastically slow down DMS performance, hampering the day-to-day work of professionals. Reduced productivity needn’t be a tradeoff of the enhanced protection that need-to-know security provides. With the ability to create, adjust, and remove security policies at scale, firms can stay one step ahead of the cybercriminals who breach their network, hoping for unlimited access to a cache of sensitive documents. Instead, need-to-know security ensures that the bad actors will be limited in the files they can access – and the damage they can do.

Extend protection with IRM

Information rights management (IRM) involves encrypting documents to restrict who can access these files outside of the firm. For example, when someone at a firm

decides to email an important file to a third party or save it onto a file sharing site like Dropbox, that file is now ‘out in the open’ and no longer protected by the need-toknow security policy applied to files within the DMS. With IRM, protection travels with the document even when it leaves the firm’s DMS. All the various permissions – the users who are allowed access, the types of operations that are allowed with the document – will follow the document as it circulates outside the perimeter of the DMS, protecting against the possibility of that content being accessed by people who shouldn’t have access to it. If IRM requires too many steps to implement, users will simply forgo this additional layer of protection. Accordingly, firms should make sure the IRM process is as frictionless as possible if they wish to thwart any cybercriminals that are hunting for sensitive documents that are ‘out in the open’.

Ongoing race

Staying ahead of determined cybercriminals is no easy feat, and as long as finance and law firms continue to serve as the guardians of privileged data, they will remain prime targets. However, by taking the steps identified above, firms can significantly reduce the risk of a successful cyberattack occurring within their organisation in the coming year, and greatly minimise the potential damage that could occur. l

Ian Raine is vice president of product management at US-based iManage, a provider of professional work product management solutions for professional organisations to streamline the creation, sharing, governance, and security of their work. Founded in 1995 and based in Chicago, Illinois,the company offers its work product management solutions as on-premises installed products, hybrid cloud services, and in public clouds.

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INVESTMENT AND GLOBAL TRADE

Blow hot, blow cold US-CHINA TRADE DEAL GETS MORE COMPLICATED BY THE DAY In February this year, President Trump announced that he would be delaying proposed US tariffs due to ‘promising’ trade negotiations with China. The US-China trade narrative has grown complicated to the benefit of US treasuries and gold stocks. How then should investors view the on-going trade negotiations with China when nothing seems certain and things look to change at the drop of the hat? An insight into a complicated, turmoiled relationship. Richard Smith THE US-CHINA TRADE NARRATIVE HAS GONE FROM SIMPLE TO COMPLEX. THAT INCREASES THE RISK TO FUTURE STOCK MARKET GAINS. THERE ARE MULTIPLE FACTORS INTERTWINING HERE THAT MUDDY THE PICTURE:

would be lifted on both sides, with clear and simple deal terms. Now the odds have increased that the tariffs will stay in some form, and the timeline for any deal has been pushed back for months.

investors nervous, causing bond yields and bank shares to fall sharply postannouncement. A central bank on pause is bullish for stocks; a US economy so fragile that the Fed is afraid, not so much.

• As of the 20 March close, the S&P 500 had risen nearly 13 per cent for its best yearly kick-off since 1998. The size of the early rally means a lot of gains and optimism are already ‘priced in’.

• Investor concern has shifted from trade war fears to global economic weakness. Money manager surveys show ‘China slowdown’ has become the No. 1 worry topic, displacing ‘trade war’, which topped the list for nine months in a row.

• Original US-China expectations were for a clean deal — the $360billion worth of tariffs

• In its policy statement on 20 March, the Federal Reserve was so dovish it made

Let us dive into each of those points with a little more detail. If you recall a few months back, 2018 finished out with the worst December for stocks since the Great Depression. That awful December performance was blamed on Jay Powell, the Chairman of the Federal Reserve, for raising interest rates and speaking too hawkishly, in a way that threatened to kill a fragile US recovery.

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In January, however, the Fed executed a radical U-turn. Powell spoke very dovishly, all but apologizing for the earlier hawkishness and rate hike, and stocks rallied sharply. Powell then went on a kind of public apology tour, taking the unusual step for a Fed Chairman of being interviewed on 60 Minutes to explain himself as a friend to markets. The Powell shift fueled the most powerful V-bottom in decades, as investors grew comfortable with the idea of interest rates staying low. The early V-bottom in stocks was also fueled by optimism around a US-China trade deal. A deal would be beneficial for the leaders of both countries and would also restore corporate profits and invigorate the global economy.

But here is where things get complicated. In markets, we have to be aware of what is already ‘priced in’, meaning the level of good news or bad news that is already reflected in market price movements. After a nearly 13 per cent run-up for the S&P 500 – the best early start in more than 20 years – a lot of market optimism is already baked into the cake. And the simple narrative of the US-China trade deal the fact that both sides need an agreement, with tariffs on both sides being lifted has grown muddy and complex, as the negotiations get dragged out further and the deal terms become unclear. The $360billion worth of tariffs that have been in place since the summer of 2018 are an economic drag for both China and the US. A new report commissioned by the US Chamber

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of Commerce estimated that, if the existing tariffs stay in place, American Gross Domestic Product (GDP) could be reduced by $1trillion over the next decade. Many people assumed that all tariffs would be lifted in the event of a deal. But now the White House has floated the strong possibility of the tariffs staying in place  even if a deal goes through until China meets some new and unknown set of rules proving they are in compliance with White House terms. This change is comparable to starting with a straightforward legal contract, to be executed in one fell swoop, and turning it into a complicated legal contract that executes in phases over a long period. It is hard to tell exactly what the new terms could mean. It is clear, though, that the odds of a USChina deal are now reduced – though still more likely than not – because it is not clear China will accept a continuation of tariffs. It is also clear a finalised deal will not be as bullish an event as investors first assumed. That in turn increases the odds that the 13 per cent run-up in the S&P has priced in a majority, if not all, of the bullish impact of a deal coming to fruition. Then, too, investor concerns have shifted. A new Bank of America Merrill Lynch survey shows that, for the first time in almost two years, ‘China slowdown’ is money managers' biggest concern. That is a big change. Prior to this survey, trade war fears had topped the worry list for nine months in a row. There is ample evidence that China's economy is contracting, with various data points and forecasts coming in at the weakest levels since the 1990s. At Beijing City Lab, a research arm of China's Tsinghua University, a multi-year satellite imagery study shows that almost a third of Chinese cities are shrinking. China slowdown fears feed narratives of global economic weakness. Because of its voracious appetite for raw materials, China has been an engine of growth for emerging markets, and the country remains an important market for the US, Europe and Japan. Apple, for example, has a lot of China exposure. An economic downturn in China would have ripple effects everywhere. There is also rising concern about what’s happening in Europe. Earlier this month, the European Central Bank (ECB) sounded the slowdown alarm with a renewal of stimulus loans to European banks. Italy is already in recession, Germany is vulnerable, and the risk of a ‘No Deal Brexit’ is playing out to the final buzzer.

As if all the above weren't enough, the US Federal Reserve has made investors worried. A dovish Federal Reserve is generally bullish for stocks. That is because stocks benefit from low interest rates and loose monetary policy. When the Fed is dovish and interest rates stay low instead of rising, stock market investors have reason to be cheerful. However, if the Fed is dovish because the US economy is headed for real trouble, that is a different story. After their latest policy meeting on 20 March, the Federal Reserve sounded so dovish that investors began to wonder if the US economy is weaker than appearances suggest. Just a few months ago, there were expectations of two or more interest rate hikes in 2019. The pendulum has now swung so much that, not only have hike expectations disappeared, the markets see a 50 per cent chance of a cut – another drop in interest rates – before the end of the year. China and Europe are already in slowdown mode, with the weakness threatening to spill over into other regions. If the US slows down too, stock markets around the world would be hit. This is an increasing worry now, with longterm interest rates falling in anticipation. In sum, the odds of a US-China trade deal are still favourable. But the odds of a deal have fallen due to political complications, and the likelihood that gains have already been ‘priced in’ is higher. Meanwhile worrisome data points out of China, coupled with a Federal Reserve far more dovish than expected, have combined to heighten investor concerns. The net result of all this is modestly negative for equities – but mainly in relation to the fact that equities have already rallied a lot this year. Stocks can still move higher, but hopes of a riproaring rally on a finalized US-China deal have now fizzled. Who are the winners here? On balance, these developments are bullish for treasury bonds and gold and gold stocks. We have already described why gold stocks look very attractive in 2019. After the latest round of events, they look even more attractive. With central banks around the world in retreat – and possibly in ‘return to emergency stimulus’ mode – it could be only a matter of time before fiat currency weakness concerns return to the fore, which would be a strong positive for gold stocks. As for the US-China trade narrative, though, investors are starting to move on. l

Richard Smith is founder and CEO of TradeSmith, a US-based developer of datadriven investment tools aiming to put easy-to-use, technology-based tools into the hands of individual investors and traders.

TAXATION

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Mind the VAT Gap LATAM’S INFLUENCE ON CLOSING THE EUROPEAN DEFICIT The VAT Gap, defined by the European Commission as "the difference between expected VAT revenues and VAT actually collected" provides an estimate of revenue loss due to tax fraud, tax evasion and tax avoidance, along with bankruptcies, financial insolvencies or miscalculations. In Europe alone, over €150billion each year is lost to the gap; money that is vital for economies across the continent. Christiaan van der Valk

THE WORLD IS IN THE MIDST OF A ‘VAT GAP’ CRISIS – MANY JUST DON’T KNOW IT YET. Defined by the European Commission as ‘the difference between expected VAT revenues and VAT actually collected’, the VAT gap has long been seen by tax authorities across the globe as one of the biggest major threats to government revenue. The sheer scale of the issue is useful to define against two different metrics which put its impact into perspective: monetary value and the percentage of global governmental revenue. Money on a global scale is very difficult to conceptualise, but estimations of €500billion being the figure of the global VAT gap is certainly a figure of note. Localising this even further, the current UK VAT deficit stands at a little over €22billion. Think what impact that could have on healthcare, education, or transport. Looking at percentages of public revenue, the impact of this VAT gap becomes clear. Currently, it is estimated that VAT equals around 30 per cent of public revenue, with nearly a third of that being lost in the gap.

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The next step: a European tour

Global impact

Unfortunately, for those tasked with managing the gap, it does not consist solely of elaborate money laundering and espionage, although that does contribute. Instead, the missing tax is made up of a mixture of the aforementioned illegal activity, incorrect VAT reporting, lost records and transactions made through cash. For those well-versed in the machinations of taxation and financial reporting, it seems unlikely that quite so much money can be lost unintentionally, but for many it’s easy to make a mistake when filing tax returns. There is a reason HMRC has specific web pages for helping people through the process of making a correction.

The first to fight back

But there are early signs that the VAT gap is beginning to close to a degree. Most of the plaudits for this proactive approach stem from Latin America, who took the fight to the VAT gap around 2003, with a move towards mandatory electronic invoicing and real-time reporting systems. Pioneered by countries such as Brazil, the LATAM tax authorities realised that they were experiencing a huge VAT gap mainly brought on by a cultural acceptance of a large-scale cash economy. Moving substantial sums in physical formats, Brazilian businesses were in the position to continue operating as they always would, all the while avoiding the roving eye of the tax man. Something had to be done. To combat this, the government established continuous reporting on tax on an invoice-by-invoice basis; a far more

efficient way for the government to ensure transactions were accurately recorded at the source, as opposed to businesses having to periodically report on what they had undertaken. In short, invoices had to be uploaded to a government platform and approved before being finalised – businessto-business transactions becoming businessto-government-to-business transactions. Once the system was up and running effectively, the improvements were vast for a number of reasons. There was a legal certainty to the reporting, minimising the issues surrounding historical record keeping and reporting. All businesses were subject to the same rules which also meant that standardisation was put in place that made it easier for business systems to exchange data with each other. Through a system of continuous reporting, the intrusion of auditing was minimised too – great for businesses, and an opportunity for the tax administration to focus expert audit resources on pockets of fraud or malpractice. One addition that Brazil and other LATAM countries made was that of clearance; where goods are not allowed to be moved from a supplier to a purchaser without the invoice being approved through the government portal. Although this led to some issues with perishable goods at the beginning of the process, measures were subsequently put in place to keep the economy moving in case the government platform is not available due to connectivity issues. Further innovations where data collected in real time for tax purposes was made available to facilitate business transaction financing became a major reason why LATAM don’t have directives to cover late payments, like other economic powers.

The rest of the world has woken up to the LATAM model and its results. Slowly, European tax authorities are implementing their own versions of real-time invoice controls in a bid to minimise their own tax gaps. In 2017, Spain brought in real-time reporting; 2018 saw Hungary introduce their real-time transactional reporting and January of this year ushered in a major step forward with Italy bringing in mandatory electronic invoicing for domestic business-to-business transactions, utilising a previously businessto-government portal. Future countries include the likes of Russia, Greece, France and, of course, the advent of Making Tax Digital (MTD) for the UK, taking its first steps in April of this year. MTD is an interesting case; although a small step in comparison to the sweeping steps other countries are making, its purpose is to lay the foundations for further change and to future-proof HMRC. This is just one step on a journey, evidenced by the plans for 2020, where transactional data will be linked to digital VAT returns, providing HMRC with an MRI of a business’ deals and corresponding tax information.

Future-proofing the private sector

One thing is clear from looking at the last fifteen years of global tax controls: the change has only just begun. Italy has set a precedent in Europe but other major economies are following hot on their heels, with the UK’s MTD setting out the foundations for our own development. For businesses, it’s not a time that they can afford to sit back and watch developments happening; they need to be on the front foot and facing these changes head on. Looking at an overview of the various tax regulations across the company, there is a brewing headache for businesses working internationally that aren’t using technology to work smart. Sure, there are those that have the funds to employ individual experts in each country’s regime to look after reporting there, but that’s not a sustainable – or smart – model. Instead, tax software needs to be a part of a business’ core finance stack – built in alongside their enterprise resource planning software and payroll. Because the VAT gap is being chased by authorities across the world, organisations must prep now to make sure they ride the wave towards a new tax world, rather than being buried under it. l

Christiaan van der Valk is vice-president of strategy EMEA at Sovos, a US-based provider of tax compliance and business-to-government reporting software. It supports 4,500 companies, including half of the Fortune 500, and integrates with a wide variety of business applications. Based in Boston, the company has offices throughout North America, Latin America and Europe.

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CAPITAL MARKET

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EUROPE GETS A BOOST IN TIME NEW EU CAPITAL RULES SET TO GIVE A MAJOR LIFT TO ALTERNATIVE TRADING PLATFORMS The alternative platforms market in Europe has grown rapidly in recent years with the sector boosted by increasing competition with traditional asset classes and significant interest in the innovation offered by new platforms for cryptocurrencies, digital assets and tokens, and secondary markets for issuances from crowdfunding. Under the proposed new prudential regime, all trading platforms within the MTF/OTF market will see their minimum capital requirements slashed from €730k to €150k, a very significant reduction in their overall prudential burden. The proposed regulations, which are likely to be agreed by the EU in the next month or two, could come into force by Q3 2020. Damon Batten

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ALTHOUGH SMALL POCKETS OF MONOPOLISTIC PRICING HAVE CLUNG ON IN CERTAIN CORNERS OF FINANCIAL MARKETS, BY AND LARGE THE TWO WAVES OF REFORM IN EUROPE – MIFID I IN 2007, AND MIFID II IN 2018 – HAVE MADE GREAT STRIDES IN INCREASING COMPETITION AND DRIVING DOWN COSTS ASSOCIATED WITH TRADING. As a result, the ecosystem of alternative trading platforms in the EU has flourished, with an ever-increasing degree of choice and innovation across all asset classes. At the start of 2019, there were over 250 multilateral trading facilities (MTFs) and organised trading facilities (OTFs) which had been approved to provide services by EU regulators. Although this number is inflated by a degree of double counting  the biggest operators often have an MTF license for each market segment or jurisdiction.  This still represents a huge array of choice, before including the direct services offered by banks and brokers who are ‘Systematic Internalisers’. The firms and the services they offer are also diverse, encompassing large players (ICAP, Tullett Prebon) and niche providers (PropertyPartner, LMAX, EM Bonds), and both traditional business models and the cutting edge. Noticeable is a wave of new entrants and disruptors on the horizon also seeking to obtain the MTF and OTF designation. The strongest interest is from the cryptocurrency and digital asset community, as trading platforms for this asset class increasingly look to achieve the legitimacy of regulatory approval, and the ultimate prize of institutional users. Alongside them are new players looking to open up opportunities in traditional securities and derivatives markets, and niche players such as crowdfunding platforms looking to establish a secondary market which will allow early stage investors to exit their positions. However, the cumulative combination of MiFID II, the Market Abuse Regulation (MAR), and the current prudential framework for investment firms represents a very high bar for new entrants. MiFID II and MAR set out a significant and onerous regime of compliance obligations for all operators of trading platforms. Meanwhile, the prudential regime requires that even the smallest, most niche operators hold a minimum of €730k – at launch and then in perpetuity – to mitigate their risk. Firms often spend months building their compliance frameworks, compiling and submitting complex applications and gaining regulatory approval. This is a huge draw on resources for new entrants, further compounded by the need to hold €730k in capital at the point of launch. The investment firm review – a root and branch review of prudential requirements for investment firms, currently being discussed by the EU trialogue – brings good news on

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at least one front. It now looks likely that a proposal to reduce the minimum capital requirement for MTFs and OTFs from the current €730k to just €150k will be taken forward – a very meaningful reduction for smaller firms. In context this reduction seems reasonable. Outside of MTFs and OTFs, the €730k minimum requirement is only applied to firms with the riskiest trading footprints, i.e. those taking proprietary positions. MTFs and OTFS take no such positions in the market. They instead act to link together traders and trading interests taking proprietary positions, via a range of mechanisms – from traditional voice broking, through to order books which support high frequency trading. As such, the principal risk that MTFs and OTFs introduce to the financial system is operational: the risk that a disruption to their system could cause disruption to the wider financial market. However, given the competitive nature of the market, in most cases the knock-on impact from the outage of a single provider should be manageable, without any broader systemic risk implications. The corollary to this good news is an associated increase in the burden of regulatory compliance. The existing prudential rules had banks as their focus. As a result many of the measures required were not relevant to the context of investment firms such as MTFs and OTFs. The new rules seek to implement specific measures more applicable to investment firms, which all MTFs and OTFs will now need to prepare to compute. Nevertheless, the changes are likely to be cheered by start-ups, early stage platforms and niche providers alike. The reduction in the capital requirement is aligned to the firm’s risk profile and will likely free up capital

to be used elsewhere. In the start-up space, this reduced barrier to entry is likely to spur additional innovation and investment, as the economics of building a new platform now look significantly more attractive. At present there is no good news on the other two fronts: MiFID II and MAR remain a significant burden for smaller firms. Although MiFID II has the laudable aim of levelling the playing field, it results in the same rules applying to a niche start-up trading platform on day one as apply to centuriesold exchanges with global user groups. As a consequence, innovation and competition is potentially being stifled, in the name of a somewhat skewed interpretation of what represents fairness for this market. Where the instruments traded, the market addressed and the trading mechanisms employed are different, a different approach seems warranted. If Europe is to retain its diverse and competitive landscape for trading platforms, further regulatory tailoring and accommodation for niche and smaller players would be a great step forward. The greatest opportunity for this is likely to be for crowdfunding platforms, whose sole need for the MTF designation is to provide a secondary market for their own issues – making their scope and risks far more limited than larger, multi-asset class platforms. Likewise, a specialised regime for cryptocurrencies and digital assets would also likely be welcomed, recognising the nascent stage of development for this market and its small size in relation to traditional financial markets. Ultimately, if the EU fails to act, there are many other jurisdictions looking to capture niche operators – and drive more trading to their shores. l

Damon Batten is managing consultant at Bovill, a UK-based provider of regulatory and compliance consulting services to the financial services industry. Established in 1999 and employing 85 staff, it assists regional and global financial services companies navigate today’s multi-faceted regulatory environment. The company has offices in London, Chicago, Hong Kong, and Singapore.

LAW FIRM SECURITY

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FIGHTING INSIDER THREATS CYBERSECURITY IN LAW FIRMS SHOULD TOP AGENDA With recent data showing that cyber-attacks on law firms have grown by more than 60% in the last two years and recent legislation changes, such as GDPR, affecting the law space, cyber security has become a top priority for the legal sector. However, firms are struggling with the growing complexity of sensitive data handling and the increasing number of insider threats. Jose Lazares

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THE GLOBAL CYBERSECURITY THREAT IS WIDELY KNOWN AND GROWING IN INTENSITY. According to Gemalto’s Breach Level Index, in the first half of 2018, 12,865 data records were lost or stolen every minute, and 106,001 records in professional services firms specifically were breached. In addition to this, the eSentire 2018 Annual Threat Report reported that malicious intrusion attempts rose more than 200 per cent between 2017 and 2018. There are a number of different factors that make law firms a target for cybercriminals to target. Like companies in many other sectors, they hold huge amounts of sensitive client data, they handle significant funds, but they are also a key enabler of commercial and business transactions. The digitalisation of sensitive information further exposes law firms to risk of a data breaches, as unsecured networks and the increasing data transfers of data provides new opportunities for malicious attacks. But cybersecurity risks to legal firms go far beyond malicious hacks. Insider threats – those originating within a firm, whether from current employees, ex-employees or third parties  also pose potential concern. According to PwC’s 2018 Global State of Information Security Survey, the most prevalent cybersecurity threats are not directed toward firms’ perimeter defenses; rather, they are caused by intentional or unintentional actions by individuals within the firm. With the introduction of the General Data Protection Regulation (GDPR) in Europe, compliance and data protection have become larger priorities for all businesses. Increased regulatory requirements mean that law firms in particular need to stay abreast of how and what data is being shared. As firms risk fines of €20million — or up to four per cent global turnover – under GDPR, financial and reputational impact of noncompliance around data visibility and access has become even more significant. In spite of this, Logicforce reports that the vast majority of firms are not even compliant with their own data governance rules or their clients’ policy requirements. As law firms adopt more modern technology, the volume of data generated

LAW FIRM SECURITY

increases, and the teams that deal with this data become more fluid. The data is also frequently moved and shared across various networks and applications to enable cross-correlation and collaboration. With all these factors at play, the risk of data exposure to unauthorised parties grows greater every day. Even if high-risk client data resides in permission-controlled document management systems, it can still be exposed via movement of data into other systems in order to support business needs. Dataconfidentiality and compliance-adherence risks increase with the growing agility and faster pace of digitally enabled, forwardthinking law firms. We often find from speaking to firms from a range of sectors that they have experienced loss or leakage of confidential information through systems that are there to support their business needs. Companies are quickly realising that rather than protecting just certain areas of their business, for example their document management systems, they need to be looking at their entire ecosystem for potential insider threats. This can occur through the exposure of data captured during client intake, engagement letters stored in file share systems, information pulled into CRM systems when creating a proposal, activities referenced in timekeeping narratives, or even document contents displayed in searchresult snippets. To manage this, firms need to be thinking about the types of regulated data they will be managing when taking on a new client or matter, and if any of these new data sets are subject to legal regulations like HIPAA or GDPR, or outside of counsel guidelines. We also often speak with clients about planning this, so they can ensure they have taken the time to lay out and understand where data is created, stored, and shared across internal systems or with external parties. If a data breach occurs within a firm, clients could potentially file a lawsuit for data mishandling, causing huge financial damage. Prospective clients could choose to hire a different firm due to resulting trust issues. A breach doesn’t even need to actually occur in order for trust to be lost: As industry dynamics have changed over

the last few years, more clients have begun auditing firms to ensure their lawyers follow regulations. If clients find that firms aren’t adhering to guidelines, they can decide to terminate the relationship. Because a data breach could affect a firm’s profit margins greatly, it is imperative that firms understand the importance of implementing technologies that offer robust activity tracking and mitigate growing security threats by detecting unwarranted data downloads. Confidentiality management software is vital in protecting law firms against insider threats and helping them ensure client compliance. Firms must ensure that the confidentiality and ethical walls software they choose can secure all applications housing sensitive data, and track activity to allow near immediate response of suspicious behaviour. In a report addressing cybersecurity best practices, Gartner effectively summarises the current state of affairs, stating ‘Digital business moves at a faster pace than traditional business, and traditional security approaches designed for maximum control will no longer work in the new era of digital innovation’.

The status quo of checkbox compliance is completely insufficient in today’s threat environment. Firms must shift to risk-based decision-making processes, which will involve gaining a complete understanding of the possible vulnerabilities, and prioritising technology investments to address risk and compliance. l

Jose Lazares is vice president of product strategy and business management at Intapp, a US-based provider of software and services to professional services and capital markets firms. Its over 1,100 customers globally include 96 of the Global 100 law firms, five of the top eight global accounting firms, and more than 400 capital markets and advisory firms. It serves law, accounting, and consulting industries. Founded in 2000, it is based in Palo Alto, California and has business operations in New York, New York; Atlanta, Georgia; London, United Kingdom, and Sydney, Australia.

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BANKING

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Rise of new lending models PLUMMETING FAITH IN BANKS IS DRIVING FORCE BEHIND GROWTH OF ALTERNATIVE LENDERS Consumer trust in banks remains in the doldrums despite efforts to repair the relationship between customers and institutions. Problems such as the 2008 financial crisis, the endemic mis-selling of financial products and the litany of predatory business practices by banks that have been revealed in the decade following the crisis have badly impacted consumer confidence in traditional financial institutions. This has led to alternative lenders stepping into the gap left by the sluggish retail banking sector. Steve Martin

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BANKS HAVE ALWAYS RELIED ON CONSUMER CONFIDENCE IN THEIR ABILITY TO PICK GOOD CREDIT INVESTMENTS, PROVIDE RELIABLE LOANS AND SAFEGUARD PEOPLE’S HARD-EARNED MONEY. HOWEVER, THE MIS-SELLING OF LOANS AND WIDESPREAD SUB-PRIME LENDING OF THE 2008 FINANCIAL CRISIS HAS CAUSED CONSUMER TRUST IN THESE INSTITUTIONS TO SIGNIFICANTLY DIP. More recently, the issue has been highlighted by TSB’s handling of an IT meltdown, which compromised millions of accounts. Senior MPs and the FCA criticised the bank for its failure to be ‘open and transparent’ in its communications, leading to even further mistrust in the sector as a whole. This is not an isolated event and something that occurs across the globe  as evidenced by Wells Fargo’s fake account scandal of 2016 and that of five Australian banks that were found in 2018 to have consistently collected fees for services they never provided. The notion that traditional financial institutions do not work in the interest of their customers, but purely in their own, has continued to proliferate and this is reflected in the fact that one in five customers  20 per cent  would no longer trust banks to provide them with a loan. Such scepticism is especially prevalent amongst the millennial generation, with the figure rising to 24 per cent amongst 25-34 year-olds. In fact, according to Royal Bank of Scotland boss Ross McEwan, it could take the industry up to 10 years to rebuild consumer trust. Despite this, appetite for credit amongst consumers remains high. We are therefore seeing a new wave of providers offering customers finance options tailored to their specific needs. But where does this leave traditional banks? Let’s explore how the lending market has evolved and what the future holds for banks in this new landscape.

Alternative lenders

Consumers are now more willing and driven to borrow outside of traditional channels due to banks having cut back on unsecured lending. However, despite the crash of Wonga, which highlighted a raft of unethical lending practices, a recent FCA investigation found that many people are still relying on costly, short-term credit to finance their purchases. In 2017-18, UK consumers took out £1.3billion in loans and paid back £2.1billion – a worrying figure. Indeed, our research found that over half

BANKING

 56 per cent  of people have experienced high interest (APR) rates when applying for credit, whilst 28 per cent of consumers have not been provided with full transparency when it comes to their loan; experiencing hidden or unexpected charges during application or at repayment stage. Many lenders are also falling short in terms of user experience, as 24 per cent of people say that their credit application process was too slow. One in five  20 per cent  also stated that the lending decision took too long and a further 26 per cent were unable to decipher their application as it was full of confusing, financial jargon. However, following the lead of digitallyfocused providers such as Deliveroo and AirBnB – which allow consumers to manage aspects of daily activity through their smartphone – a number of agile fintech disruptors have materialised to tackle the dayto-day financial painpoints customers face. Not only this, they also provide a greater degree of transparency and show that finance providers can (and should) fit around the consumer – not the other way around. Starling, for example, was the UK’s first mobile-only bank and continues to go from strength to strength, allowing customers to manage their money at a time and in a way, that suits them. However, whilst exciting, these brands are still not entirely ‘frictionles’ – they still act as a barrier between consumers and actually using their money. To solve this, organisations have helped change the face of consumer lending by offering finance at the point of sale itself – both online and in-store - moving from traditional pre-purchase credit to a far more seamless service. Flexible point-of-sale lending is changing the nature of financial transactions across a range of sectors, including how to fund a holiday, buy a house, and even pay for medical treatments at – unlike many bank loans – a rate which suits the customer. The potential of this method of lending is huge,

with more than three quarters – 78 per cent – of consumers saying they would consider using point-of-sale credit in the future. Point-of-sale finance applications can currently be processed in the same time that it takes to authorise a debit card payment – about four seconds. For many years, POS finance has been backed by major banks and financial lenders. However, as these institutions are increasingly unwilling to provide the flexibility or transparency demanded by today’s digitally-savvy consumer, a range of new providers are stepping in to take their place.

How do traditional banks fit into this new era?

Nobody wakes up in the morning thinking ‘I must do banking’. Banks do not tend to inspire the levels of consumer loyalty seen in other sectors, and they must therefore work harder to retain customers. Given this, the ongoing reticence of banks, to both lend and offer customers what they want, has created a gap in the finance market, which could prove the end of banks as we know them. Indeed, research has found that if the growth of smaller, more agile disruptors continues, banks could lose almost half – 45 per cent – of their customers to alternative finance providers. Not only this, but we are seeing an increasing number of banks turning to fintech brands for help. Recent reports suggest that rather than developing their own technology, as they have in the past, banks are now increasingly leasing programmes from alternative lenders who have created much more streamlined approval processes. This is granting modern providers even greater influence within the sector and highlights that banks may become dependent on these new lenders. Going forward, if banks fail to focus their efforts on what counts – customer satisfaction and trust – it is highly probable that disruptive providers will continue to steal market share from traditional establishments across the globe. l

Rob Cottingham is credit director at consumer finance specialist Duologi, a UK-based provider of bespoke finance solutions for retailers across a wide range of sectors. Authorised and regulated by the UK’s Financial Conduct Authority, it uses a point of sale technology-based platform that integrates with retailer’s existing systems. The company is supported by Oaktree Capital, an American global asset management firm specialising in alternative investment strategies. It is the largest distressed investor in the world, and one of the largest credit investors in the world.

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LEGAL MARKETING

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FACT STRONGER THAN FICTION SIX LEAD GENERATION MYTHS LAID BARE Efficient and successful lead generation is driven by a multitude of different marketing strategies including SEO, referrals, newsletters, events, and emails. However, there are certain myths that have cropped up over the years that need to be addressed. Jon Payne OVER THE LAST 10 YEARS I HAVE TRAINED MARKETING TEAMS, BUSINESS DEVELOPMENT TEAMS, AND SENIOR PARTNERS OF AROUND A FIFTH OF THE TOP 100 LAW FIRMS IN THE UK, ALL WITH A STRONG INTERNATIONAL FOOTPRINT. Working to get more out of their marketing budget, I find the same misconceptions come up time and again. Here are six myths we can knock on the head straight away.

Myth One Lawyers personally generate the majority of new enquiries themselves. Networking is all important, but not every new client can be attributed to a relationship forged in person. Clients frequently find law firms through online search and a good customer relationship marketing (CRM) system will recognise and record that. However, when developing a sound marketing strategy we often discover that the way the CRM system registers a lead and describes its source differs from what is recorded by the fee earner when they add to or update the record in their Case Management System (CMS). It is understandable that when a lead has come in from a company a lawyer’s had contact with in the past it is often put down to being ‘self-generated’. But digging a bit deeper often reveals this new prospect is someone from a different office somewhere else in the world and the enquiry happens months after the initial networking. The bigger the firm, the bigger the issue. Usually, potential new clients will have searched to find a law firm on Google. The

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prospect who searched may not have heard of the lawyer or even the firm before. Let the CRM system do its job and ensure it is integrated with your CMS to allow for accurate tracking. This will mitigate the problem and allow your marketing team to clearly work out which activity leads to which sales.

Myth Two

Your firm’s events bring you new clients. More often than not, events are bringing you connections who have already heard of you or worked with you, or occasionally have been referred by your current clients. Events work as part of a bigger ecosystem – not only do they boost brand awareness and help you build your reputation but they also serve to bolster your account management strategy with existing clients. Occasionally, your potential clients are searching for legal events to attend but they are more likely to be put on by ILA, IBA, ECIL and so on.

LEGAL MARKETING

Events are important – they bring you a better lifetime value from clients and are great opportunities to cross sell or upsell services. But be realistic about who you are trying to target and what you are trying to achieve.

Myth Three

Email marketing works. Email marketing does not work. Well, more precisely cold email marketing does not. People are not interested in receiving cold, general emails from law firms. Instead, they want to receive an email that is timely and relevant to their specific legal problems. The way to make email work is to use it to nurture leads. When someone signs up for an event or a webinar – these are well worth the investment – use email automation from your CRM to follow up with several emails in a meaningful way. Help them along their decision-making journey, do not spam them with news about your CSR or the ‘exciting’ news that one of senior partners has completed the Marathon des Sables.

Myth Four

‘People just don’t Google the types of services we sell.’ Not true. People are searching online – 3.5 billion times a day – just not for the stuff you think they are. The very foundation of inbound marketing is that you attract customers to your website by writing relevant and useful content which answers a problem your potential clients are already typing into Google. For example, if you practice agricultural law, do not limit your firm to paying for the phrase ‘agricultural lawyer’ or similar in Google Search Ads. This is expensive and competitive. Instead, blog regularly and provide solutions to

your potential client’s pain points such as ‘conversion of agricultural buildings to residential use’. This way you will become more visible in that competitive online niche. The latter phrase is what your prospect searches for when they are beginning to address their problem – which is when you want to have an initial conversation to position yourself as a trusted advisor. The former is when they’re getting ready to have a ‘beauty parade’ of law firms.

Myth Five

People only buy from you based on recommendations. Being recommended by an existing client is great but it is not the silver bullet. To support these word of mouth recommendations, you will need social proof and trust signals on your website. Most people undertake the simplest of online due diligence even if they’ve had a recommendation first. Think testimonials and reviews and you will be on the right track. When your prospect is ready to learn more about the potential solutions to their problem, ensure your website and your business has the collateral they need, without having to contact a lawyer just yet – think webinars, useful downloads and guides and running small, targeted events in your departmental niches. At a minimum, ensure you capture an email address via a form when someone signs up to one of these. That way you will capture contact details of a new prospect to use to convert them into a qualified new business lead.

Myth Six

Having your phone number on every page of your website leads to more business. It does not. Your phone number belongs on your Contact pages where there are details of your global offices. Instead, you need a form which will feed into your CRM system and captures where the lead has come from (e.g. Google, LinkedIn, The Law Society). It also allows you to report on numbers of visitors which convert into enquiries and how many of those you win as new clients. Or, if you really want to be ahead of the curve, deploy a well thought out chat bot. People are short on time these days and when they are in the early research stages of looking for a solicitor, they want to be talked to online. It is much more convenient and most of your web visitors are not ready to hear from a human immediately – a chat bot can move them more quickly through the qualification process and you do not have to pay it overtime to work 24 hours a day, seven days a week. l

Jon Payne is founder and technical director at Noisy Little Monkey, a UKbased digital marketing and lead generation specialist. Founded in 2009 in Bristol, the firm works across all sectors but specialises in working with professional services organisations such as legal practices, accountancy and financial planning practices, recruitment providers, and marketing agencies.

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ILLICIT FINANCE

Tough on illegal cash LAW FIRMS YET TO GET SERIOUS ON THEIR MONEY LAUNDERING OBLIGATIONS Money laundering is on the rise. And while the clandestine nature of money-laundering makes it difficult to estimate the total amount of money that is laundered globally every year, the latest figures estimate it is between two and five per cent of global GDP which is between 715billion and 1.87trillion. In the UK alone, recent estimates from the FCA puts the figure at around £60billion. Martin Cheek ONE OF THE KEY TARGETS FOR THOSE LOOKING TO CLEAN THEIR DIRTY CASH IS LAW FIRMS, BUT IT SEEMS THAT EFFORTS TO ENCOURAGE LAWYERS TO MAKE MORE SUSPICIOUS ACTIVITY REPORTS (SARS) ARE NOT SUCCEEDING. The number of reports from the UK legal sector was down 12 per cent last year, according to figures from the National Crime Agency (NCA). Lawyers made just 2,660 of the 463,938 SARs in 2018 – just 0.57 per cent of the total but, worryingly, increased the number of Defence Against Money Laundering (DAML) requests. This is where they seek the NCA’s consent to carrying out an activity that may result in a person committing a principal money laundering or terrorist financing offence. In total, there were 22,619 DAML requests, up 20 per cent on 2017 and solicitors sought DAMLs on 1,753 occasions – that is 7.7 per cent of the total. Back in November 2017, Donald Toon, the NCA’s prosperity director, said that ‘the legal profession was worse than any other financial services sector in reporting money laundering suspicions’. Then, while giving evidence to the Joint Select Committee on the Draft Registration of Overseas Entities Bill in March this year, Toon questioned again whether lawyers in

the UK were taking their AML obligations seriously enough, especially given that failure to report suspected money laundering and terrorist financing is a criminal offence punishable by up to five years in prison. He said: “We believe that we do not get the level of reporting from legal firms of suspicious activity that we would expect. We have said it a number of times and there has been no significant change.” He said the NCA was working closely with the Solicitors Regulation Authority (SRA) to identify legal professionals who were not following the rules. Then, the next day, the SRA announced that law firms will face a series of spot checks to ensure that they are not breaching anti-money laundering rules. The SRA said it would initially target some 400 practices across England and Wales as part of a UKwide crackdown. The SRA is determined to ensure firms have AML risk assessment procedures in place and any that are not complying will face ‘enforcement processes’ This announcement, coupled with the fact that more than 40 solicitors in the UK have been struck off, suspended, or voluntarily come off the roll in the last five years, following allegations relating to money laundering regulations, highlights the ongoing and serious problem within the legal sector.

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The legal profession is one of the biggest targets for money launderers as a way of cleaning dirty money used to fund terrorism, the drug trade and other illegal activities. Many of the legal firms are not complying because they do not want to, and forcing these firms to comply is an education process in the serious and grave impact that money laundering has on innocent lives. But many others do not have the right processes in place either

ILLICIT FINANCE

because they do not know what they should be doing, or are struggling to fund the time and resources to put the proper processes in place Under the Money Laundering Regulations, regulated law firms must undertake customer due diligence - not only to verify the identity of their clients, but also the beneficial owners and the nature of business transactions including the source of the funds. This is because where a PEP or sanctioned individual is looking to make a financial transaction, they will do it through an intermediary business or contact, so it is imperative to identify the true beneficiary of the transaction to ensure the funds are legitimate. And if your firm is not undertaking proper checks, you will be a target. And that means anyone you work with is also vulnerable, because, let us not forget, money laundering is a globalised, borderless problem, which makes it even more complex to tackle. It is exacerbated by the rapid development of technology, so, to be able to tackle money launderers, we need to be able to fight AML at a global level. At the moment, the UK retains membership of Europol, the European Unionâ&#x20AC;&#x2122;s law enforcement agency, but whether it will continue to enjoy the benefits of sharing intelligence after Brexit, we do not know. And this could be a very serious problem, not just for the UK, but for the rest of the world. It is no secret that undertaking money laundering checks is a time consuming and expensive process. Not to mention the fact that fake documents are now so sophisticated, that even if you do meet

clients face to face and they produce identification such as passports, driving licences etc. you still cannot be 100 per cent sure they are who they say they are. The only way you can be certain that your checks are compliant is by using an electronic money laundering checking system. And thanks to a booming RegTech industry in the UK there are now a huge number of electronic solutions available and thousands of law firms are already turning to electronic AML platforms to complete their AML checks, Global Sanctions and PEP screening. RegTech is not as widespread in the rest of Europe, but it is getting there, and while electronic verification is not obligatory, yet, the 5th money laundering directive stipulates that electronic checks should be done where possible, so it is only a matter of time before electronic checks become compulsory and the rest of the world is forced to catch up. One-stop shop AML verification systems like ours guarantee to recognise fraudulent documents and AML activity. We also have an integrated app that is able to electronically verify all documents remotely. With technology like this available, there is no reason for law firms not to have the correct AML processes in place. Electronic AML platforms save time, money and are more reliable than manual checks ever can be. This gives law firms the peace of mind that they are stopping money launderers in their tracks, are fully compliant and able to prove that to authorities. l

Martin Cheek is managing director at SmartSearch, is a UK-based anti money laundering (AML) platform incorporating automated PEP and Sanction & screening, with daily monitoring. The platform uses data partners Experian, Equifax, Dow Jones and Companies House to conduct searches and checks on individuals and businesses both across the UK and the international markets. It also delivers warning email alerts, to allow those responsible for AML compliance to keep a watching brief over users and ensures that enhanced due diligence is undertaken if PEPs or Sanctions warnings are highlighted.

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LAW AND REVENUE

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TIME TO THINK MONEY BUILDING A COMMERCIALLY-MINDED LEGAL DEPARTMENT IS THE NEED OF THE HOUR Law has changed and the priorities of legal departments need to change too. What CEOs want out of their legal teams is to drive revenue, rather than just spend cash. Make no mistake: That model is changing, and the commercially-minded legal department is emerging in its place. Rufus Caine and James Sexton

LEGAL DEPARTMENTS ARE BECOMING MORE COMMERCIALLY-MINDED. IN THE YEARS SINCE THE LAST GLOBAL ECONOMIC RECESSION, THIS INCREASED COMMERCIAL FOCUS HAS BEEN PRIMARILY DEFENSIVE: LEGAL TEAMS HAVE WORKED HARD TO STAY WITHIN AND REDUCE WHEREVER POSSIBLE THEIR CORPORATE EXPENSE LINES. But there comes a limit to how much legal departments can cut costs – and there are other ways to create value. In our experience, truly commerciallyminded legal departments are increasingly focused on a more proactive stance – one

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that involves generating affirmative value for the organisation by pursuing the outstanding claims that the latest legal finance research reveals are too often left on the table and that represent millions in lost value. We predict that, in the year to come, a growing number of legal departments will take their commercial-mindedness this one step further: They will begin to pursue affirmative claims that return value to the organisation. To accomplish this, legal departments will be well served learning about, and ultimately using, legal finance – a tool designed to reduce the cost and remove the risk associated with affirmative legal spend. Our belief that legal departments will increasingly seek to generate affirmative value is grounded both in research and experience. For instance, a 2014 paper in the MIT Sloan Management Review posited that legal departments could become contributors to the bottom line by identifying opportunities to create tangible value (as opposed to cutting costs alone). The paper further noted that this would involve managers and lawyers working together to devise legal strategies and techniques to increase ROI, particularly in ways that could be tied to a profit-and-loss statement – a strategy we’ve increasingly seen employed through our work with inhouse lawyers. In our experience working with legal departments, we have witnessed increased pressure on legal budgets  but we have also seen an increased desire to extract and measure value. For instance, a growing number of corporate clients are instituting affirmative recovery programmes for their legal teams, and some are even assigning specific recovery targets for their legal teams – a marked shift in focus that is reflective of the value-generating imperative set forth by c-suite leaders. Affirmative recovery programmes are by no means the norm, but they have been around for quite some time. Recovery programmes at DuPont, The Home Depot, Tyco, Ford, and others have been generating headlines for over a decade. For instance, DuPont’s legal team generated cumulative recoveries of about $2.7billion between 2004 and 2013. Now law firms are offering services to help clients meet affirmative recovery targets: Eversheds Legal Consulting arm has begun offering advice to companies on how their in-house legal departments can become profit centres. And elsewhere in the UK, Crowell & Moring and Reed Smith both have appointed practitioners in affirmative recovery in their London offices.

LAW AND REVENUE

Although we have noted an increase in clients setting affirmative recovery targets, it remains the case that corporations fail to pursue meritorious claims out of a concern about controlling the costs of litigation. The 2018 Litigation Finance Survey, conducted by Burford Capital, which consists of 495 responses from in-house and law firm lawyers across the UK, US, and Australia, highlighted that a vast majority of in-house lawyers are leaving significant, untapped value on table annually. The results showed that 68 per cent of in-house lawyers report that their companies have abandoned meritorious claims due to their perceived impact on the bottom line, and 59 per cent report having an uncollected award or unenforced judgment valued at $10million or more. Despite the staggering value that companies are abandoning, legal departments still face significant obstacles in pursuing affirmative recoveries. The first obstacle is cultural. Simply put, what it means to be an in-house lawyer is changing, and corporate views on legal spend have not necessarily caught up to corporate views on legal strategy. While GCs and other in-house leaders have been asked to play a strategic role in company decision making, the broader legal department is still often seen as a defensive arm of the business, built to contain cost and manage risk. The second obstacle is more straightforward: The cost and risk inherent in litigation. Fortunately, with legal finance, this problem is quite solvable. Legal finance is a tool designed to reduce the cost and remove the risk of pursuing affirmative legal matters. In a typical legal finance arrangement, a company with a strong claim approaches a legal financier at any stage of a proceeding. The financier diligences the matter and, if it agrees to fund the matter, it extends passive

capital on a non-recourse basis. This means that the financier, which has no control over the underlying case, will receive a portion of any potential award or settlement, and in exchange will assume all downside risk. In other words, the company filing suit will owe the financier nothing if the case loses. If the claim is successful, the company has risked no upfront cash and returns the financier’s investment back plus a return out of the proceeds. Because the financier assumes the cost and risk of resolving disputes regardless of outcome, legal finance enables legal departments to pursue affirmative recoveries without adding legal expenses or uncertainty. This makes the tool especially powerful for legal departments with affirmative recovery targets or programmes, because they can work closely with the financier to identify meritorious matters, and in instances where there are several of them, secure financing for all of them on a portfolio basis. Legal finance thus enables the commercially-minded legal department to be strategic about affirmative recoveries without introducing cost or uncertainty. In-house lawyers should not expect to generate billions or to turn the legal department into a profit centre overnight just by setting recovery targets and using legal finance  but nor should they neglect to pursue recoveries when their companies are wronged (something that Burford’s research shows happens all too often). A failure to pursue recoveries in these cases would be to disregard their role as protectors of corporate assets. As legal departments are increasingly held to the same budgetary and value-generating standards as other corporate functions, legal finance will help GCs maximise litigation recoveries, yet do so in a way that protects the company’s bottom line, avoids surprises and creates certainty around their commercial litigation and arbitration spend. l

Rufus Caine and James Sexton are vice presidents at Burford Capital, a Guernsey-based finance and investment management company focused on law. Its businesses include litigation finance and risk management, asset recovery, and a variety of legal finance and advisory activities. With principal offices in New York, London, and Chicago, it offers financing to lawyers and clients engaged in litigation and arbitration, asset recovery and other legal finance and advisory activities.

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EQUALITY AND DIVERSITY STRATEGY

Equal opportunities ACHIEVING GENDER FAIRNESS IN FINANCE REMAINS AN ELUSIVE DREAM There is a huge gender disparity in the finance industry worldwide, with only a marginal number of CEOs being women. The challenges and opportunities facing women in the finance sector continue to be immense and insurmountable.Yet, we must endeavour and stick to the hope and belief that someday gender inequality would be a thing of the past and people would be purely judged and rewarded on merit and sheer ability. Alpa Bhakta ON 8 MARCH, LIKE EVERY YEAR SINCE ITS CONCEPTION IN 1909, WE CELEBRATED INTERNATIONAL WOMEN’S DAY. AS SOMETHING OF A RARITY  A FEMALE CEO IN THE FINANCIAL SERVICES INDUSTRY  I WAS CALLED UPON TO SHARE MY THOUGHTS ON GENDER EQUALITY WITHIN THIS SECTOR. While it is undoubtedly an important date for the recognition of women’s achievements and the challenges they still face in the workplace, I believe the subject of gender equality shouldn’t be confined to a single day. Instead, it needs to be a topic of conversation in our everyday lives, particularly when it comes to the workplace. There’s no denying that we have made positive steps forward in a bid to achieve parity between men and women in the workplace over the past few decades. The number of female CEOs in the Fortune 500 companies, for instance, doubled in the ten years between 2008 and 2018. But there is an awfully long way left to go, and this is particularly true when we consider the financial services industry. Take, for example, Virgin Money’s 2016 Empowering Productivity Report. Having surveyed more than 3,500 men and women working in financial services, the report found that, at the time, women accounted for 23 per cent of companies’ board members, 14 per cent of executive committees and only six per cent of CEOs.

The figures illustrate that there is still a lot of progress to be made to ensure men and women stand on equal footing. Looking forward, one must examine what steps need to be taken to break down the barriers standing in the way of female professionals.

How can we encourage change?

Organisations clearly have a duty to encourage change and achieve gender equality. However, while doing so, it is important to note that achieving equality doesn’t necessarily mean there has to be a 50/50 divide between genders in certain roles. Enforcing quotas and encouraging positive discrimination can be problematic. Not only could it cause further imbalance, it might mean that those better suited to a position  whether this is down to more honed skills or greater experience  are overlooked. This also leads to the issue of equal pay, which I believe is similarly difficult to police with black and white regulations. No two roles are the same, just as no two employees have the exact same skill set or work history. It is very difficult, therefore, to strive for perfect equality in a statistical sense. While no individual should earn more than another because of his or her gender, comparing salaries, particularly when there remains an underlying disparity in job roles, is often unwise. Instead, encouraging progress involves fundamentally changing workplace culture to remove barriers that might otherwise

have been preventing women from advancing in their careers. What does this look like in practice? On a basic level, it means ensuring individuals are presented with perfectly equal opportunities for employment, promotion and leadership positions, regardless of their profiles. I have already seen many organisations take steps to remove characteristics like gender, class and ethnicity from the equation, and we must strive to make this the norm across the board by promoting similar practices.

Building an appropriate framework

For an industry that is routed in traditional practices, it can be difficult to reform culture and inspire change in the finance sector. However, I believe there are some practical measures that organisations can adopt to address gender inequality. Given that a person’s time at a company begins at the recruitment stage, I see this as an appropriate place to start. Since human judgment is naturally clouded by bias  oftentimes subconscious  there is always a danger that certain candidates might be unfairly prejudiced because of their gender, race, or background. By employing anonymous recruitment strategies, organisations can stamp out any bias in the process by removing identifying details; this encourages employers to take into account solely a person’s skills, experience and qualifications when considering their suitability for a role.

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Importantly, inspiring true change comes down to encouraging open discussions within the workplace––giving men and women alike the opportunity to share their concerns about what practices might be negatively impacting some more than others. Engaging staff on the issue of gender equality can be as simple as holding regular staff meetings, where employees can air their grievances and together come up with ways to break down existing barriers. This alone, however, is unlikely to inspire significant progress. While beneficial, there also needs to be a more rudimentary shift in an organisation’s culture. This requires, for example, the implementation of certain structures and processes so employees can report instances of inappropriate behaviour. And when handling any such reports, the employer must follow a zero-tolerance policy to make sure any allegations are handled with the utmost care and urgency. Reprimanding perpetrators of sexist remarks or behaviour is the first step towards ensuring this kind of behaviour doesn’t continue into the future. Importantly, since I began working in the industry in the late

EQUALITY AND DIVERSITY STRATEGY

’80s, there has been an evident change in attitudes toward women, and importantly, a significant reduction of sexist behaviour.

organisations must make sure that women aren’t forced to choose between their children and their careers.

Supporting parents

Change begins with society

Meanwhile, another important area of concern is motherhood and the policies in place to support working mothers. We cannot escape the fact that it is women who bear children, yet this can often have a negative impact on their careers by stalling their progress or being held against them when promotions are considered. A recent survey of professionals with children by MMB Magazine found that only 18 per cent of women who worked at management level or above were happy and confident about returning to work after their maternity leave. Disappointingly, 90 per cent were not even offered any formal support through a returner programme. Clearly, greater attention needs to be diverted towards establishing workplace programmes that can support working mothers. Whether this is by introducing a comprehensive returner programme, or facilitating flexible working hours,

It is important to remember that gender equality is not just a workplace issue but something that affects all cultures and societies. Women must therefore face no discriminatory limitations and boundaries, and instead be encouraged to pursue ambitious careers. To ensure this happens, it is vital for organisations to endeavour to achieve greater gender balance and true equality. No doubt, progress has certainly been made. I have witnessed this first-hand in my 30 years of working in the financial services. Positively, there are far more women working in the industry, with an increasing number holding senior titles. However, this does not mean we can become complacent there is still a long journey ahead of us. Narrowing the gap and breaking down the remaining barriers will undoubtedly take time, perseverance, and most importantly, mutual effort. l

Alpa Bhakta is CEO of Butterfield Mortgages Limited, a UK-based provider of private banking and wealth management services to individual, corporate, and institutional clients. Founded in 1938, it is part of the Butterfield Group and a subsidiary of The Bank of N.T. Butterfield & Son, the company is headquartered in London with additional offices in Bermuda, Bahamas, the Cayman Islands, Guernsey, and Switzerland.

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North America

Europe

Asia

www.winston.com

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ICFM TOP 100 LEADING FIRMS 2018

IT IS OUR PLEASURE TO INTRODUCE TO YOU THE INTERCONTINENTAL FINANCE MAGAZINE’S 100 LEADING FIRMS LIST, FEATURING THE BEST FIRMS FROM THE WORLD OF LAW, FINANCE AND PRIVATE EQUITY The honourees on the list have been chosen in accordance with their business practice, depth of knowledge and service rendered to clients. ICF recognises that partnering with the right service provider in today’s highly-competitive world is of utmost importance to organisations who mean business and would settle for nothing less. Our list provides you that cutting edge you need with a roster of names that is a veritable Who’s Who of the business, finance and legal world. Featured are the crème de la crème who can advise you on all corporate matters.

Congratulations to all our Top 100 Leading Law Firms

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ICFM TOP 100 LEADING FIRMS 2018

Australia

Davis Advisory www.davisadvisory.com.au

Canada

Czech Republic

PatentAxis Inc.

Gurlich & Co.

www.patentaxis.com

Bahrain

www.akrg.cz

France Rogerson Law Group www.rogersonlaw.com

Zu'bi & Partners

Cabinet Plasseraud www.plass.com

www.zubipartners.com

China Belgium

AMBOS NBGO

Lee, Tsai & Partners

IXO Private Equity

www.leetsai.com

www.ixope.fr

Colombia

Germany

www.amboslaw.be

Botswana Posse Herrera Ruiz www.phrlegal.com

Busse & Miessen

Cyprus

www.busse-miessen.de

Luke & Associates www.lukeandassociates.net

Christodoulos G. Vassilliades & Co. LLC www.vasslaw.com

Kather Augenstein www.katheraugenstein.com

Piyush Sharma Attorneys & Co. www.sharma.co.bw

Costas Tsirides & Co Llc

Brazil

www.tsirides.com

Pohlmann & Company www.pohlmann-company.com

Basilio Advogados www.basilioadvogados.com.br

Mantis & Athinodorou www.mantislaw.com

SIWE www.si-we.d

Intercontinental Finance & Law â&#x20AC;˘ 158/19

www.intercontinental- finance.com

ICFM TOP 100 LEADING FIRMS 2018

Greece Fox Mandal PPT Legal

www.foxmandal.in

S.K. Srivastav www.srivastavandco.com

www.pptlegal.gr

India HSA Advocates www.hsalegal.com

Anand and Anand

Tuli & Co www.tuli.biz

www.anandandanand.com

Kesar Dass B. & Associates www.kesardass.org

VERITAS LEGAL www.veritaslegal.in

Indonesia AZB & Partners www.azbpartners.com

Law Office Of Ramni Tanjea www.ramnitaneja.com

Hermawan Juniarto www.hermawanjuniarto.com

D. H. Law Associates www.dhlawassociates.com

Mundkur Law Partners www.mundkur.com

Lubis Ganie Surowidjojo www.lgsonline.com

Ireland Desai & Diwanji www.desaidiwanji.com

NKN Legal www.nknlegal.co.id

Fidus Law Chambers www.fiduslawchambers.com

Intercontinental Finance & Law â&#x20AC;¢ 158/19

VIGITRUST www.vigitrust.com

O.P. Khaitan & Co www.opkhaitan.com

www.intercontinental- finance.com

ICFM TOP 100 LEADING FIRMS 2018

Italy

Lebanon Berdeja Abogados SC www.berdeja.com.mx

Annunziata Associati www.acfirm.it

Abou Jaoude & Associates Law Firm www.ajalawfirm.com

Tumi Law Firm

Ritch Heather Mueller Y Nicolau www.ritch.com.mx

www.tumilawfirm.com

Dalla Verita' & Partners www.dallaverita.it

Nepal

Luxembourg

Dennemeyer & Associates S.A. www.dennemeyer.com

Pradhan, Ghimire & Associates www.pradhanlaw.com

Spadafora De Rosa Law www.spadaforaderosa.net

Nicaragua

EY www.ey.com/lu/en/home

Ughi e Nunziante - Studio Legale www.unlaw.it

Guy Jose Bendana-Guerrero & Asociados www.guybendana.com.ni

Malta Nigeria

Japan

YUASA and HARA www.yuasa-hara.co.jp

G. Elias & Co.

KSI Malta www.ksimalta.com

www.gelias.com

Mexico

Kenya

JATA www.jata.mx

Hermon www.hermonlaw.com

PPT Legal www.pptlegal.gr

Oscos Abogados

Tokunbo Orimobi LP

www.oscosabogados.com.mx

www.tolegalgroup.com

Waweru Gatonye www.wawerugatonye.co.ke

SMPS Legal www.smpslegal.com

Intercontinental Finance & Law â&#x20AC;˘ 158/19

www.intercontinental- finance.com

Pakistan

ICFM TOP 100 LEADING FIRMS 2018

The Netherlands

Spain

Heussen www.heussenlaw.nl

Vellani & Vellani www.vellani.com

Lebrero Abogados S.R.L.P. www.lebreroandco.com

Turkey

Philippines BEZEN & PARTNERS www.bezenpartners.com

DivinaLaw

Maio

www.divinalaw.com

www.maiolegal.com

Sweden

Group Law Firm www.grouplaw.com.tr

Hechanova Bugay Vilchez & Andaya-Racadio

Delphi www.delphi.se

ÜNLÜ & Co

www.hechanova.com.ph

www.unluco.com

Switzerland Portugal

UAE AFSCHRIFT

SPASS - Santos Pereira & Associados

www.afschrift.com

www.spass.pt

Fichte & Co

Russia

www.fichtelegal.com

Tax Partner AG

www.taxpartner.ch

Zuykov & Partners www.zuykov.com

Taiwan ABR Solicitors www.abrsolicitors.com

Slovenia Deep & Far www.deepnfar.com.tw

AVONDALE Law Office PETEK Ltd

www.avondale.co.uk

www.op-petek.si

Intercontinental Finance & Law • 158/19

www.intercontinental- finance.com

ICFM TOP 100 LEADING FIRMS 2018

Bonaccord Ecosse Ltd www.bonaccord.eu

Fulcrum Chambers

SIA Group

www.fulcrumchambers.com

www.sia-group.co.uk

Ukraine Boult Wade Tennant

Goal Group Ltd

www.boult.com

www.goalgroup.com

Aleksey Pukha and Partners www.puhaipartnery.com.ua

HGF Limited www.hgf.com

USA

Carter Perry Bailey LLP www.cpblaw.com

Demotech, Inc. Imprima

www.demotech.com

www.imprima.com

Cavendish Corporate Finance LLP www.cavendish.com

Luvera, Barnett, Brindley, Beninger & Cunningham www.luveralawfirm.com

Intercorp Group Financial Marketing Ltd

www.intercorpgroup.com

www.financialmarketing.com

Maalouf Ashford & Talbot, LLP www.maaloufashford.com

Liquidity Services Inc. www.liquidity servicesinc.com

FMConsult www.fmconsult.co.uk

Purvis Gray Thomson, LLP www.purvisgray.net

Maxwell Winward LLP www.maxwellwinward.com

Sadis & Goldberg www.sglawyers.com

Intercontinental Finance & Law â&#x20AC;¢ 158/19

www.imagecreativedesign.co.uk

TO INTERCONTINENTAL FINANCE MAGAZINE'S TOP 50 GLOBAL LAW EXPERTS FOR 2018 THE FOLLOWING LAWYERS HAVE BEEN RECOGNISED BY INTERCONTINENTAL FINANCE MAGAZINE AS ONE OF THE TOP 50 GLOBAL LAW EXPERTS IN THE WORLD TODAY. ICFM is a monthly magazine and is distributed to our 158,500 strong corporate database. We hope our Top 50 Global Law Experts will help you to make informed decisions as to what firms or individuals to assist you in corporate matters, whether of a transactional nature, financing or simply ongoing assistance to ensure your businesses are applying good governance in all areas.

Congratulations to all our Top 50 Global Law Experts

Belgium - China

TOP 50 GLOBAL LAW EXPERTS 2018

De Broeck Van Laere & Partners

Didier Van Laere is a business lawyer at the Brussels’ Bar and the Ghent’s Bar, specialized in tax and corporate law. He obtained a Master degree in law at the University of Ghent and a special Master degree in tax law at the University of Brussels. Didier

E: dvl@dvp-law.com

Van Laere is one of the two founding partners of the law firm

T: +32 2 4230 042

De Broeck Van Laere & Partners (1998). His practice includes

F: +32 2 4230 032

corporate tax work, mergers & acquisitions, restructuring and...

www.dvp-law.com

READ MORE HERE

STW & Partners

Shinâ&#x20AC;&#x2122;ichiro Yoshiba is one of partners of STW & Partners. His

main areas of practice are licensing, IP related M&A transactions, and IP litigation and dispute resolution involving infringement

E: shinichiro.yoshiba@stwlaw.jp of patents, trademarks and copyright. He has considerable T: +81 3 3596 7317 experience in handling IT-related legal issues and disputes F: +81 3 3596 7330 regarding various types of internet services and IT system www.stwlaw.jp

JAPAN

Shinâ&#x20AC;&#x2122;ichiro Yoshiba

development. He regularly provides comprehensive legal advice on litigation/dispute resolution,... READ MORE HERE

www.intercontinental-finance.com/globallawexperts-50

TOP 50 LAW EXPERTS 2018

Japan - Mexico Wataru Sueyoshi is one of the founding partners of STW & Partners. His main areas of practice are IP Law and Corporate

JAPAN

Law. He obtained an LLB from the University of Tokyo in 1981 and was admitted in Japan to the Daini-Tokyo Bar Association in

E: wataru.sueyoshi @stwlaw.jp

1983. He joined Mori Sogo (now, Mori Hamada & Matsumoto) in

T: +81 3 3596 7301

1983 and established STW & Partners in 2007. Mr. Sueyoshi was

F: +81 3 3596 7330

the Visiting Professor, University of Tokyo Graduate Schools for Law and Politics from 2013 to 2016... READ MORE HERE

Nelson Ihachi Ashitiva is the Senior Partner and Head of Strategy at Ashitiva and Company Advocates, a firm he founded 5 years

KENYA

ago with partners Ken Ashimosi and George King’ori. A practicing

Nelson Ihachi Ashitiva

he is also a Commissioner of Oaths, Notary Public and an

E: info@ashitivaadvocates.com

Arbitrator and Associate of the Chartered Institute of Arbitrators

Carlos Abou Jaoude is the founder and managing partner of Abou Jaoude & Associates Law Firm. His multidisciplinary expertise

LEBANON

www.stwlaw.jp

Ashitiva and Company Advocates

ADR specializing in corporate restructuring.... READ MORE

and international experience in a broad range of industries in both the public and private sectors include Corporate Law, Banking &

T: +254 20 2710 880 T: +254 722 764 732 www.ashitivaadvocates.com

Carlos Abou Jaoude Abou Jaoude & Associates

E: c.aboujaoude@ajalawfirm.com

Finance, Mergers & Acquisitions, Capital Markets & Securities,

T: +961 1 395 555

Tax & Succession Planning, Structured Finance, Financial

F: +961 1 384 064

Restructuring & Insolvency, Telecommunications, Media, Project

www.ajalawfirm.com

Development & Finance and Privatization.... READ MORE HERE

Shankhnad Ghurburrun has many years of experience in advising international and domestic clients on white collar crime, asset

MAURITIUS

advocate of the High Court of Kenya with 10 years of experience,

of the United Kingdom. Nelson focuses on Commercial Law and

recovery and anti-fraud matters, in both Mauritius and the

Shankhnad Ghurburrun

Seychelles and regional cross border matters. GEROUDIS has its

Geroudis

own in-house intelligence team, and often collaborates with state

E: sanjeev@geroudis.com

authorities in the development and elaboration of commercial crime legislation in Mauritius. The firm has full service capabilities with around 20 Forbes 100 clients... READ MORE HERE

1977 was a good year for beginnings. The first Apple Computer went on sale, The Clash released their first album, Star Wars

MEXICO

Wataru Sueyoshi STW & Partners

opened in theaters, and as for real space exploration the Space

T: +230 2103 838 F: +230 2103 912 www.geroudis.com

Dario U Oscós Coria Oscós Abogados

In Mexico City, there was another sort of launch: Oscós Abogados

E: doscos@oscosa bogados.com.mx

Law Firm was founded by its senior partner Darío U. Oscós Coria.

T: +52 55 5550 2829

Oscós Abogados is a boutique law firm abounding with a team of

F: +52 55 5550 1273

Shuttle made its first test flight and Voyager I & II were launched.

professional lawyers.... READ MORE HERE

www.intercontinental-finance.com/globallawexperts-50

Nigeria - Philippines

TOP 50 GLOBAL LAW EXPERTS 2018

Aham Eke Ejelam SAN

Called to the Nigerian Bar in August, 1985. LL.B (Hons.) (1984)

Principles Law Partnership

of Nigeria on the 22nd of September, 2014. Member, Chartered

University of Science and Technology. Made a Senior Advocate

E: aham.ejelam@principleslaw.com Institute of Arbitrators (UK). Member, International Bar

Association. Member, Commonwealth Lawyers Association.

T: +234 84 302 576

NIGERIA

University of Nigeria. LL.M (2000) from the Rivers State

Member of the Executive, Nigerian Bar Association, Port

www.principleslaw.com

Harcourt Branch... READ MORE HERE

Miannaya Aja Essien, SAN, CArb., FCIArb

Principles Law Partnership is a firm of legal practitioners,

Principles Law Partnership

an extensive range of legal services in areas of litigation,

arbitrators, notaries public and registered capital market

E: info@principleslaw.com

Corporate and Commercial law, Banking law and Secured Credit

T: +234 84 361 582

Transactions; trademarks and trade names, intellectual property,

NIGERIA

consultants in Port Harcourt and Lagos. Principles provides

Capital market, Environmental, electricity, oil and gas law,

www.principleslaw.com

receivership, liquidation... READ MORE HERE

Akabogu & Associates E: emeka@akabogulaw.com T: +234 1453 5940 T: +234 80554 61557 (DL) www.akabogulaw.com

Akabogu is a widely recognised expert in the field of maritime law and policy in Nigeria. He is the Senior Partner at the law firm, Akabogu & Associates, which is active in shipping, maritime, petroleum and international trade representation. He has served and continues to serve on a range of national committees and initiatives on maritime development including the Ministerial

NIGERIA

Emeka Akabogu

Cabotage Review Committee. His book, ‘Maritime Cabotage in Nigeria’, was the first published work... READ MORE HERE

Badaruddin F. Vellani

Mr. Badaruddin F. Vellani is an Honours graduate in Chemical

Vellani & Vellani

(London). He is a senior partner at Vellani & Vellani and has over

Leicestershire and a Barrister-at-Law of the Middle Temple

E: khi@vellani.com

35 years experience in commercial matters, including corporate

T: +92 21 3580 1000

work such as mergers and acquisitions, anti-trust and competition law, corporate finance, project finance, infrastructure projects,

F: +92 21 3580 2120

building and construction contracts... READ MORE HERE

DivinaLaw

Nilo T. Divina is a leading counsellor and authority in Philippine corporate law and litigation. He founded the Firm in 2006, and has been the firm’s managing partner since. He grew the

E: nilo.divina@divinalaw.com

firm from a crew of nine lawyers to the present complement of

T: +63 02 822 0808

50 attorneys and counsels. He is also the dean of the Faculty of

www.divinalaw.com

Civil Law of the University of Santo Tomas, one the Philippines’ leading law schools. Mr. Divina’s experience spans some 25 years

PHILIPPINES

www.vellani.com

Nilo T. Divina

PAKISTAN

Engineering from Loughborough University of Technology,

of appearing before courts of all levels... READ MORE HERE

www.intercontinental-finance.com/globallawexperts-50

TOP 50 LAW EXPERTS 2018

Singapore - Turkey She has more than 35 years of experience of work in IP, including

RUSSIA

patents. According to the most reputable Russian and foreign magazines, Dr Vakhnina is one of the leading IP professionals in Russia. She was recommended by Russian business newspaper

E: mail@vakhnina.ru

Vedomosti and the website www.pravo.ru as one of 2011’s best

T: +7 49 5231 4840

Russian lawyers and as one of 2012’s best Russian lawyers for IP.

F: +7 49 5231 4841

In 2010 / 2011 / 2013 / 2014, she was listed as a leading legal expert by Who’s Who Legal... READ MORE HERE

Mr Ajaib Hari Dass is a consultant with Haridass Ho & Partners, a

SINGAPORE

law firm in Singapore which he co-founded. He is an Advocate and Solicitor, Commissioner for Oaths and Notary Public. Graduated

T: +65 6533 2323

Temple in 1975 and called to the Singapore Bar as an Advocate &

F: +65 6533 7029

Banking division of One Legal LLC. She is also a founder of the

SINGAPORE

Haridass Ho & Partners E: mail@hhp.com.sg

Tracy Chen co-heads the Corporate, Corporate Finance & law corporation. Having been in corporate practice since 1988,

www.hhp.com.sg

Tracy Chen

One Legal LLC

Tracy has been actively involved in various aspects of the practice

E: tracy.chen@onelegal.sg

and particularly in corporate finance, mergers and acquisitions,

T: +65 6720 6786

joint ventures, loan and security, and other corporate matters.

F: +65 6720 7998

Her clients include listed entities, small and medium enterprises, multinational clients... READ MORE HERE

Marla Bojorge is the owner of Bojorge & Associates, an international corporate and immigration law firm located in Valencia, Spain. The firm specialises in finding the right legal

SPAIN

Ajaib Haridass

(Honours) degree, he was admitted as a Barrister-at-Law, Middle Solicitor in 1976. He has more than 43 years of continuous legal

www.onelegal.sg

Marla Vanessa Bojorge Zúñiga

solution for each client’s unique circumstances. Ms Bojorge

Bojorge & Associates

previously practised in Switzerland (Tribunal de Première

E: marla@visalawspain.com

Instance – Suisse) and the United States (Kavanagh Maloney & Osnato LLP Manhattan, New York), and is a member of theInternational Bar Association (IBA).... READ MORE HERE

Since October, 1982, Mr. Tsai has indulged himself in experiencing all phases of intellectual property laws from preparation to prosecution and then to litigation of patent, trademark, copyright,

T: +34 96 0451 676 F: +34 96 1125 927 www.visalawspain.com

C. F. Tsai

Deep & Far

circuit layout, trade secret, unfair competition and license before

E: cft@deepnfar.com.tw

instances of courts in this country and other countries. Brain

T: +886 2 2585 6688

waves, perseverance and stamina are considered to be most

F: +886 2 2598 9900

important factors of a successful character.... READ MORE HERE

www.intercontinental-finance.com/globallawexperts-50

www.vakhnina.com

from the University of London in 1974 with a Bachelor of Law

experience and specialises in shipping... READ MORE HERE

TAIWAN

Dr Tatyana Vakhnina Vakhnina and Partners

www.deepnfar.com.tw

Taiwan - USA

TOP 50 GLOBAL LAW EXPERTS 2018

Felix Wang is an attorney at law based in Taiwan with over 10

Felix Wang

YANGMING PARTNERS

labor law, securities law, cross-border M&A, and antitrust law.

E: fwang@yangminglaw.com

Mr. Wang has handled various M&A deals across industries,

T: +886 2 8725 6677

including life insurance, food, management services, cable

F: +886 2 2729 5577

television, communication equipment, application software, lodging, and container shipping. He also advised on premerger

www.yangminglaw.com

filings for a wide range of multinational... READ MORE HERE

Mehmet Nazım Aydın Deris

Mehmet Nazım Aydın Deriş graduated with first class honours

Deris

spoken command of Greek. Mr. Deris has been shareholder and

He is fluent in French, English, Italian and German and has a manager since July 1971 of the firm Deris Patents & Trademarks

Mr. E. Kerim Yardimci

Founding Partner and Executive Board Member at Deris, Kerim

Deris

Kerim’s international expertise is complemented by his extensive

Agency AS, which provides full-range services for securing, maintaining and defending (search, registration, renewal, opposition) intellectual... READ MORE HERE

attorney locally and internationally. Fluent in English and French, network. Kerim’s innovative approach to intellectual property litigation, complex court proceedings and portfolio management has helped drive Deris’ status as a top, forward-thinking IP law firm... READ MORE HERE

Gary P. Naftalis is co-chair of Kramer Levin Naftalis & Frankel of the 100 Most Influential Lawyers in America by The National Law Journal and as one of the Top 10 Lawyers (Top Point Getter) in New York by Super Lawyers. Mr. Naftalis is a Fellow of the

F: +1 212 7159 238

American College of Trial Lawyers. He represents individuals

www.kramerlevin.com

and corporations... READ MORE HERE

The Entrepreneur Law Center, P.L. E: khamner@entrepreneur lawctr.com T: +1 407 6014 980 F: +1 407 6014 981

One of the nation’s leading trial lawyers, he was selected as one

USA

E: gnaftalis@kramerlevin.com

LLP, where he co-chairs the firm’s extensive litigation practice.

For the past twenty five years, Ken Hamner has accumulated a wide variety of experience in finance, accounting, consulting, and

law. He has significant experience in structuring international and domestic transactions, equity and debt relationships, and negotiating contracts. Ken manages and directs all of the primary

USA

Kramer Levin Naftalis & Frankel LLP

Kenneth Hamner

TURKEY

is a highly experienced and respected intellectual property

E: aderis@deris.com.tr T: +90 212 2497 010 F: +90 212 2937 676 www.deris.com.tr

T: +1 212 7159 253

TURKEY

from the Faculty of Law at the University of Geneva in June 1968.

E: aderis@deris.com.tr T: +90 212 2497 010 F: +90 212 2937 676 www.deris.com.tr

Gary P. Naftalis

TAIWAN

years of experience specializing in general corporate matters,

practice areas of the Entrepreneur Law Center, P.L., a boutique law firm with focused practice areas of business planning, international and domestic... READ MORE HERE

www.intercontinental-finance.com/globallawexperts-50

TOP 50 LAW EXPERTS 2018

USA - Uganda Mr. Rami Fakhoury is passionate about immigration law. He is the founder and Managing Attorney of Fakhoury Law Group, PC

USA

(FLG), a Martindale Hubbell AV-rated business immigration firm. Mr. Fakhoury was a pioneer in establishing an office in Mumbai

Fakhoury Law Group, PC (FLG)

to better service FLG’s Indian IT and Engineering clients. His

E: rami@employmentimmigration.com

knowledge of immigration and foresight into immigration trends and policy have earned him widespread recognition. He is currently helping the State of Michigan... READ MORE HERE

om has practiced Property Tax and Real Estate Law since 1978 and has been an MSBA Board Certified Specialist in Real Property Law since the inception of that designation. Tom is

USA

Rami Fakhoury Fakhoury

T: +1 248 6434 900 F: +1 248 6434 907 www.employmentimmigration.com

Thomas R. Wilhelmy

highly acclaimed for his expertise in real property valuation

E: t wilhelmy@fredlaw.com

and property tax appeals, including retail, office, industrial,

T: +1 612 4927 058

apartment and redevelopment properties. He is rated “AV

www.fredlaw.com

Preeminent” by Martindale-Hubbell, and is a MSBA certified

Fredrikson & Byron P.A.

specialist in real property law.... READ MORE HERE

WAYNE N. OUTTEN is a founding and the managing partner of Outten & Golden LLP. His practice focuses exclusively on

USA

representing individuals in all areas of employment law. He co-

Wayne N. Outten Outten & Golden LLP

chairs the firm’s Executives and Professionals Practice Group.

E: og@outtengolden.com

Mr. Outten’s notable cases include a recovery of $12 million in

T: +1 212 2451 000

a gender discrimination/retaliation case against Morgan Stanley

www.outtengolden.com

in federal court and (with partner Larry Moy) a $18.9 million arbitration award... READ MORE HERE

Mr. Martucci, who holds an LL.M. in employment law from Georgetown University in Washington, D.C. practices nationally

USA

in complex class action (employment discrimination and wage

E: wmartucci@shb.com

worth having on any dream team for employment litigation and

T: +1 202 7838 400

policy issues.” His jury work has been featured in The National

F: +1 202 7834 211

in California, Florida, Illinois, ... READ MORE HERE

Joseph is the Managing Partner of the Firm; he holds an LLM (SEU) from Arkansas, MA Corporate Governance from Kingston University London, Bachelor of Laws (LL.B) Makerere University Kampala and, a Diploma in Legal Practice (Dip. LP), Law Development Center Kampala. Uganda; he has worked on local

www.shb.com

Joseph Buwembo

Buwembo and Company Advocates

E: joseph@buwemboadvocates.com

and international projects and his current practice draws upon

T: +256 41 4341 335

his experience in commercial and corporate/company law as well

F: +256 41 4341 842

as in the areas of intellectual property... READ MORE HERE

www.buwemboadvocates.com

www.intercontinental-finance.com/globallawexperts-50

Shook Hardy & Bacon LLP

& hour) and EEOC litigation. Chambers notes “Bill Martucci is

Law Journal. Currently, Bill is involved in class action litigation

UGANDA

William C. Martucci

TRAVEL | CITY | LISBON

www.intercontinental- finance.com

Lisbon THE AGELESS CITY

Portugal’s hilly, coastal capital city, historical Lisbon is full of stories to tell. With sun shining 29 days a year and with the temperature rarely dropping below 15°C, this is a city that makes you want to go exploring, to discover whatever might appear in every neighbourhood and on every street. It is also a cosmopolitan metropolis famous for its hospitality and the family-like way it welcomes visitors. Ramy Salameh IN NOVEMBER 2018, THE CITY OF LISBON WAS VOTED ‘BEST CITY DESTINATION’ AT THE WORLD TRAVEL AWARDS. Just a few weeks earlier, in November 2018, it had hosted 70,000 delegates for the world’s biggest WEB Summit, an event that took over its ‘Park of Nations’, formerly the site of EXPO 98. At the recent International Lisbon Tourism Fair 2019  or BTL  it was announced that the Lisbon International Fair (FIL) expects the exhibition area to ‘almost triple’ to around 111,000sqm in the next ten years

with phase 1 of the plan to be implemented in 2020. That would be truly driving home the fact that the city has finally stepped out from the shadows of other European cities and is now one of ‘the’ must-see cities of Europe, both as a business and leisure destination. The accessibility between Lisbon airport and city centre is exemplified when flying across the patchwork of tightlyconcentrated red roofs on the approach to land under which the historic maze of alleyways sweep around the districts of Baixa, Chaido, Bairro Alto, Alfama, and Belém amongst others. There is no shortage of vantage points to capture amazing panoramas or to map out the city below. Lisbon is known as the

city of Seven Hills: Santa Catarina, Estrela, Penha de Franca, Sao Pedro de Alcantara, Castelo, Graca, and Monte. Several of these elevated sites are included in the ‘Lisboa Card’, a cost-effective way to get around the city on metro, bus and, of course, the ubiquitous icon of Lisbon  the ‘Tram’. Ask any local and they will advise visitors to jump on the ‘number 28’ that rumbles through the streets reflecting over a 100-years of operation and heritage. The number 28 begins from Estrela, and heads to the parliament building, carves a path through the glorious Bairro Alto and Chiado districts before making its ascent that brings visitors close to the famous landmark, and guardian of the city, the 11th century Castle of São Jorge, before terminating in Graça, a colourful and cosmopolitan area. Lisbon’s old districts covet some truly spectacular venues, which can turn the

Intercontinental Finance & Law • 158/19

TRAVEL | CITY | LISBON

www.intercontinental- finance.com

ordinary event into something truly memorable or simply be part of a mesmerising tourism itinerary; the astute event organiser or traveller, who sources the skeletal remains of the ‘Carmo Convent & Archaeological Museum’ will certainly achieve that. The roofless nave, columns and arches of the former gothic church, are all that remain from the devastating earthquake of 1755. The earthquake destroyed much of the city, but out of the ashes came the Lisbon we know today and much to do with the vision of the Marquis of Pombal, especially when standing atop the triumphal ‘Arch da Rua Augusta’ that provides a wondrous view of the Praça do Comércio on one side and Baixa Pombalina with its ordered, gridlike arteries, on the other. The arch links the riverfront with downtown and funnels both light and pedestrians, through the photogenic curvature and into Baixa. Everywhere one looks art of some form abounds, whether it be ‘street art’ sprayed upon trams and walls, or the mosaic-tiled pavements distinctive of Lisbon, which are made by craftsman called ‘calceteiros’.

But most obvious and significant are the traditional Azulejo tiles that flourish across the city in both ancient and modern buildings; the Azelujo Tile Museum is almost a duty to visit. Just beyond Lisbon’s landmark ‘Ponte 25 de Abril’ Bridge, the district of Belém is a concentration of diversity, with continued regeneration of the waterfront, and heritage sites that define Portugal. The organically beautiful form of MAAT (Museum of Art, Architecture and Technology) is in stark contrast to the Electricity Museum next door, a solid industrial building that is able to absorb fairly large events amongst its mechanical exhibits. Both provide unrestricted views of ‘The April 25 Bridge’ which was built by the same company that constructed the Golden Gate in San Francisco, hence their similarity. A short distance back from the waterfront, is the original Coach Museum on Picadeiro Real; inaugurated 112 years ago by queen D. Amélia de Orleães and Bragança. It is within these horse-drawn relics, dressed in velvets and gold leaf, which visitors will be taken to a bygone era of aristocratic opulence.

In this area, maybe the piece-deresistance of historical sites, are the UNESCO World Heritage listed Belém Tower and the Jeronimos Monastery. The former, is one of the most representative examples of Manueline architecture and in the course of its existence, it has been a military fortress, a jail, a lighthouse and even a customs house for collecting taxes. The latter, is a 16th century architectural masterpiece, housing the tombs of revered Portuguese figures such as Vasco da Gama. Uniquely, there are three events spaces within the Jeronimos Monastery, which are the Cloister, the Old Canteen and the Chapter Hall. The recent ‘Web Summit’ used Jeronimos Monastery to ‘Wow’ VIP guests. There has never been a better time to visit the Portuguese capital. The Lisboetas or ‘alfacinhas’ (little lettuces) as they like to call themselves, are welcoming and charming on the one hand, but are creative and innovative on the other, and most definitely taking advantage of their city’s growing popularity; these are the ingredients for visitors to do the very same. l

Images courtesy of visitlisboa.com

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TRAVEL | HOTEL | PALÁCIO BELMONTE, LISBON

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Palácio Belmonte A RIGHT ROYAL STAY Built in 1449, atop ancient Roman and Moorish walls, expanded in 1640, and finally decorated in 1725, Palácio Belmonte is considered the oldest building of its kind in Lisbon. Transformed into a luxury hotel, it consists of 11 exclusive suites, each named after a major figure of Portuguese history. Ramy Salameh

AN UNASSUMING, ANONYMOUS AND HEAVY-SET RED DOOR SEPARATES A QUAINT COBBLED COURTYARD, FROM AN INTIMATELY HISTORIC FOYER, EMBRACING AN ALMOST MONASTIC-LIKE SILENCE. As the door closes behind you, Lisbon’s bright morning sunshine is replaced by softer tones; the sensory contrast is immediate and welcome. This is one of many such contrasts that guests of the exquisite ‘Palácio Belmonte’ will experience during their stay. Opposite the entrance, two wooden sculpted figures hang from the wall, ushering guests towards an ancient flight of limestone steps, whose patina is characterised by pockmarks or dints. It represents the thousands of footsteps that have passed before, throughout a long and distinguished history, which served as residence for Figuereido, Pedro Álvares Cabral (explorer), Marques D’Atalia, Duke of Loulé and Count of Belmonte. The Palácio is a national monument and one of the world’s most captivating boutique hotels. It has the most exclusive address and location in the city, sitting next door to the entrance of the Sao Jorge castle in the Alfama neighbourhood, sharing the very same elevation, vistas and ancient walls. It integrates a Roman Tower (138 BC) and two Moorish Towers of the 8th Century, which eventually morphed into a residence in 1449, enlarged and completed in 1650 with final decorative touches concluding in 1725. Today, it is home to intimate suites and spaces filled with contemporary art, ancient artefacts, sculptures, period features,

cherished books and furnishings. All owned and selected by Frederic Coustols, a Frenchman, who bought Palácio Belmonte in the early 1990s. He says “the Palácio is a Portuguese composite, a vernacular construction, which I tried to bring back to its origins, a house. It took me one year to listen, to knock on the walls, to understand. It has always been a home, with the same family just with different titles, for nearly 600 years”. With a deep love and knowledge of art, vernacular architecture and sustainability, he has restored this iconic and precious historical edifice into a sanctuary of heritage and luxury. From the entrance, the stone staircase leads up towards the ‘Piano Nobile’, containing the palatial ‘Maria Ursula’ ballroom, sitting next to the ‘Governors Room’, and surrounded by the more intimate ‘White & Red Libraries’, where Coustols is often found. The spaces have formed the nucleus of the ‘home’ for many hundreds of years, where family generations would have dined and entertained. The sense of ‘home and family’, sustainability and of course Art, are key components of the hotel’s uniqueness. Maybe most telling is Coustols continuing desire to maintain that residential DNA, as part of the overall conservation and preservation, whilst regularly injecting new pieces of art to the status quo. “Art work contributes to freedom and freedom is very important in this world, it is rare. The art collection in PB is very eclectic, it’s my own taste” Coustols adds. The works range from letters written and

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signed by the King and Queen, tapestry, sculpture made by a Czech artist and currently a holographic-like light installation that bounces rainbow colours across the courtyards white walls called ‘Spectral’. Beyond the ‘Piano Nobile’ guest spaces, eleven exceptional suites, make the most of the historic architectural lineage both inside and out, leaving their mark upon the quirkiest of labyrinthine layouts. This is where heritage, exclusivity and design have all fused together to provide individuality that display the past so eloquently. The suites are named after a major figures from Portuguese history: Fernão Magalhães, Egas Moniz, Fernão Mendes Pinto, Gil Vicente, and Bartolomeu de Gusmão, amongst others. Each suite is so refreshingly different, that the only aspects which have some form of uniformity is the guarantee of elegance and a magnificent view across Lisbon. The ‘Ricardo Reis’ suite assimilates a spiralling medieval staircase, for patrons to reach their bedroom, which immerses them in 15th century frescoes upon the walls, above 18th century ‘azulejo’ tile panels by the Master Valentim de Almeida. They burst with colour once the old shuttered Palácio Belmonte Pátio de Dom Fradique 14 1100-624 Lisboa Portugal Tel: +351 21 881 6600 Email: office@palaciobelmonte.com www. palaciobelmonte.com

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TRAVEL | HOTEL | PALÁCIO BELMONTE, LISBON

windows open and Lisbon’s renowned daylight illuminates both. In fact the distinctive blue and white Azulejo tiles, depicting music, art and life of the nobility in the 1700s, runs like a ribbon across the white-washed walls throughout the Palácio, a constant thread in the hotel and a symbol of the city and Portugal itself. There are around 3,700 tiles across the Belmonte. The Palácio’s promontory, sweeps across a panorama that spans east to west, from the ‘Vasco De Gama Bridge’ – Vasco da Gama was received at the Palácio upon his triumphant return from India – all the way around to the ‘Ponte 25 de Abril Bridge’. Every window, veranda and balcony, catching an aspect of Lisbon. One’s eye trying to connect both bridges, with the seemingly endless and irregular terracotta-tiled roofs across Alfama and São Vicente de Fora, with the distant river the constant contrast and backdrop. In 1723 Manuel dos Santos and Valetim de Almeida were commissioned to decorate the Palacio with fifty-nine original Azelujo panels, which took two years to complete, “and in celebration of this great work, there was a big party with the King and ministers invited” Coustols continues. Coustols and his wife Maria, have weaved contemporary design throughout the Palácio, and maybe the ‘Amadeo de Souza Cardoso’ terrace suite reflects that

most. A modern spiral stairway, supports a mezzanine platform with king size Japanese bed, to help fill the voluminous space. From this lofty perch, is an ideal spot to look down upon angular contemporary furniture, with a certain ‘Bauhaus’ look to it; the library and marble bathroom, join the collection of XVIII century ‘azulejo’ tile panels to provide the opulence. The garden terrace, a haven of south European charm, offers another corner to look down towards the ebb and flow of Lisbon life. Under the dappled shade created by over-arching branches of pine trees, guests can sit and take in the changing colours and sounds emanating from Alfama’s cobbled streets, catching a glimpse of the yellow vintage trams scuttling up and down the hills in between tightly-packed residences. The constant trickle of water, from the black marble infinity pool, another accompaniment to enjoy within the walled oasis, as is the chime of the church bells from Sé Cathedral. The ever-changing art work, alongside a regular flow of writers, artists and composers who stay at the Belmonte, keeps the spaces fresh and creatively inspiring. It maintains a constant link between old and new, framing the past with the future. Above all the Palácio is an authentic amalgam of architecture through the ages of Lisbon, just as it remains a home, a hotel, a gallery and a Palácio. Coustols, imparts one more thought: “I have always liked eating sand and stones, I am a landscape collector, and I love to collect them as they are free” philosophical but interpretable after a stay at his ‘home’. Guests should admire, imbibe the atmosphere and add one more footprint upon the ancient steps, before leaving through that anonymous red door. l

TRAVEL | ADVENTURE | AQUEDUTO DAS AGUAS LIVRES

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Discovering Aqueduto Das Aguas Livres ON THE TRAIL OF LISBON’S ICONIC AQUEDUCT Aqueduto das Aguas Livres is the giant stone aqueduct that crosses Lisbon and one that has immensely contributed to the city’s development, providing generations of locals with fresh drinking water while standing strong during the 1755 earthquake. One of the exemplary illustrations of 18th-century Portuguese engineering, the main course of the aqueduct covers 18km, though the entire canal network extends through nearly 58km. Ramy Salameh ONE OF THE DOMINANT STRUCTURES CLEARLY VISIBLE ON THE APPROACH TO LANDING AT LISBON AIRPORT IS A SERIES OF LOOPING ARCHED SECTIONS OF THE RESPLENDENT AQUEDUCT OF THE FREE WATERS – ‘AQUEDUTO DAS AGUAS LIVRES’ TO PROVIDE ITS OFFICIAL NAME – IS ONE OF MANY SPECIAL HISTORIC SITES CONNECTED WITH LISBON’S FORMER WATER SUPPLY SYSTEM.

As the aircraft banks to the left to start its final preparations to land, this particular landmark imprints itself on one’s mind, like a photographic negative, and something that would be worthy of visiting. What is not clear from viewing this one kilomtere section of duct spanning the ‘Alcântara’ valley is the history of the city’s water supply and how this dramatic edifice came to be part of the Lisbon landscape. These questions, though, were clearly

answered when I had the chance to walk part of the Aqueduct’s meandering path. The planned hike and selected route, designed by a Lisboeta and commenced from a suburb of greater Lisbon, would eventually enable the structure to be viewed from an alternative angle. The hike was also a way to learn about its heritage, whilst admiring the architecture and engineering that had gone in creating this marvel that would, for many years supply the locals with water.

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On a cloudless morning, I set off to the starting point of the walk, which was the last stop of the blue Metro line, ‘Reboleira’. The neighbourhood is one of Lisbon’s most multicultural and one that has clearly benefitted from the Metro line extension, which opened in 2016. A place with diversity, energy and melting pot of cultures fusing together – a modern reflection of Lisbon’s long historical roots of cultural exchange born out of being a major sea-faring and trading hub over any centuries. Reboleira station’s rail tracks, cycle path and a series of small arches of the Aqueduct, directed us swiftly out of the town towards the verdant landscape of ‘Monsanto Forest Park’. Before reaching the park, the walk takes in a series of uninspiring residential apartment blocks, made slightly more interesting by splashes of colour from some standout street-art, and the need to keep a sight line on the Aqueduct, whose masonry would reassuringly resurface occasionally, to keep us on track. Enroute, my guide explained that the ‘Agua Livres Aqueduct’, was built in between 1731 and 1799, by royal assent, with the purpose of resolving the issues of supplying enough clean water to the people of Lisbon. The main course of the aqueduct covers 14km, but the total network of canals extends to 58.1km. King João V decided to build an aqueduct to bring water from the springs located in the north west of Lisbon in the municipality of Odivelas, to the Mãe d'Água reservoir in the Amoreiras district of the city centre, built to receive and distribute water. Now a museum, the former reservoir building, with gargoyles and features, was initially designed by the Hungarian architect Carlos Mardel in 1746, but finally completed in 1834. As we reached the edge of Monsanto Forest Park, a growing number of mountain bikers, runners and walkers were congregating, and preparing equipment. Lisbon’s green credentials have developed rapidly in recent years, even during its economic crisis. In 2020, Lisbon will kick-off its year as a ‘European Green Capital’ having won the award back in 2018. The award came as recognition of the work that Lisbon has been developing towards a more sustainable city for all, by taking the idea of sustainable urban development closer to the people. We entered the forest park, one of Lisbon’s largest wooded areas, from a small gravel road that comes to an end on the doorstep of the splendid estate building ‘Quinta da

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TRAVEL | ADVENTURE | AQUEDUTO DAS AGUAS LIVRES

Fonte do Calhariz’ that dates back to 1702 and currently a private school. As we made our way in, the tree canopy provided a cool breeze and the aroma of pine and eucalyptus. Monsanto Forest Park has only existed for the last 70 years, occupying an area of about 1000 hectares. It is a haven for sports enthusiasts, hikers and those wishing to be enveloped by various types of trees that provide dappled shade to permeate the paths and tributaries. Sitting on one of the highest hills, there were some good cityscapes appearing between the gaps in the trees. None more so than the distinctive stadium of ‘Estadio De Luz’, home of Benfica Football Club, designed with four red-steel arches, circuiting the arena representing light and transparency. Even with great swathes of the city running along the edge of the park, the flora and fauna acted as a noise and wind-break, and also felt spacious enough to only occasionally pass fellow Lisboetas. This remained the same, even as we finally approached the section of the Aqueduct, I had seen from the sky. Unless with a local, few tourists would have the chance to view the structure from the forest, the majority would approach the structure from the ‘Campolide’ end, some 941 metres across the valley. From our wooded end, a small pitched roof comes out of the shrubbery and runs to a fence that prevents further access to a couple of sidewalks. Gingerly edging across the duct’s hipped roof, we reached the fence to fully take in this magnificent national monument; a symbol of 18th Century baroque

architecture, snaking a kilometre across the valley. The level of craftsmanship in building the Aqueduct and its solidity was immense, having survived the devastating earthquake of 1755. From our perch, the building curves left across the valley, revealing several of the 35 arches, reaching an apex of 66 metres at their highest point and a series of elaborate lanternshaped ‘Skylights’ used for ventilation, that run staccato across the top. Branching off in the other direction the ‘Ponte 25 de Abril Bridge’ is just possible to capture in the lens. Visitors can actually pay to walk along the 1km stretch of aqueduct, and have several other routes to follow including the Aqueduto das Aguas Livre’s fountains, underground galleries and museums, taking in monuments and buildings constructed between the 18th and 19th century. With bottles of water in hand and rucksacks on backs, we resembled ‘Aguadeiros’ the guide says with a smirk, as we headed out of the park. Translated as ‘water carriers’, these men and women used to be employed to carry and sell water in the city’s streets, filling their barrels at the ornate baroque fountains. This tradition lasted until the early twentieth century. With local insider knowledge, my guide had showed me may be the quirkiest route of all, providing me several more kilometres and insights into one of the most important innovations and periods of Lisbon’s long history. Aqueduto das Aguas Livres is tentatively being considered as an UNESCO World Heritage site. l

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GADGETS & GIZMOS

Gadgets & Gizmos SAMSUNG GALAXY TAB S5E

AMAZON KINDLE The new Amazon Kindle is the first Kindle with a front light for under $100. The new feature allows you to adjust the display brightness to read comfortably in even more places, whether indoors at night or outside in the sun. It also includes an updated design, the latest electronic ink technology for better contrast, and three months of Kindle Unlimited for free, a $30 value. With Kindle Unlimited, you can read as much as you would like from a collection of millions of titles at no additional cost. The all-new Kindle comes in black or white for $89. Like all Kindle devices, this Kindle too provides a sanctuary reading experience with no distractions and includes a glare-free display with laser-quality text that is easy to read. The new adjustable front light makes it even more comfortable to read in a variety of places while still delivering weeks of battery life. The device also includes updated electronic ink technology for better contrast and now uses capacitive touch to prevent accidental swipes on the six-inch, 167 ppi display. The refreshed design delivers all these great features while keeping the device thin and light, so it is easy to hold in one hand for long reading sessions. And the Kindle comes with storage to hold thousands of books so you can take your library with you, a battery life that lasts weeks not hours, and a durable design that makes it easy to bring with you on the go.

The Samsung Galaxy Tab S5e is slimmer, lighter and thoughtfully designed with smart features to keep you connected. Incorporating a 10.5inch large screen with a vast battery capacity, it is well-engineered for a rich and immersive entertainment experience. With a 5.5mm sleek metal body, and weighing 400g, the Tab S5e is very-portable, durable, and designed to integrate easily into your everyday lifestyle. It is available in a range of fresh and modern monochromatic colours including Silver, Black, and Gold. Featuring an extended battery life lasting up to 14.5 hours. As the first Samsung tablet to feature the new Bixby 2.0, the Tab S5e Quick Command feature allows you to switch on your TV and your lights at the same time thereby enabling you to customise several actions under one command and making voice control of your home environment even quicker, simpler and more tailored to you. When you need to get things done, a keyboard (sold separately) coupled with Samsung DeX gives you a PC-like environment. With call and message continuity, you can also answer a call or reply to a message directly from your tablet,

even when your phone is far from reach, or on a different Wi-Fi network. The Tab S5e comes with Samsung’s iconic and immersive Super AMOLED display, complete with a 16:10 screen ratio and no visible home key. It offers a 10.5-inch Edge to Edge Display and slimmed-down bezels with an 81.8 per cent screen-to-body ratio for an enhanced, immersive viewing experience that will bring content to life. The Tab S5e is complemented with rich, stunning sound as a result of its Quad Speakers, which incorporate auto rotate stereo technology for powerful, louder audio that adapts to how you’re holding the tablet (portrait/landscape). The Tab S5e also features Dolby Atmos integration and sound by AKG, for immersive 3D sound and professional balanced audio. With Spotify preloaded and a free premium subscription for up to three months for new members, the Tab S5e allows you to stream your favourite tunes uninterrupted, anywhere.

VAVA 4K LASER PROJECTOR The VAVA 4K Laser Projector delivers exceptional cinema-quality visuals and clarity for an elevated home theatre experience. Featuring an ultra-short throw (UST) design with Advanced Laser Phosphor Display (ALPD) technology, the VAVA 4K Laser Projector is capable of projecting a massive high definition 150-inch display image

from a distance of seven inches for up to 20,000+ hours. Powered by Android 0S 7.1, the projector makes it easy to access streaming media platforms through integrated software. Users will be able to access a variety of streaming media platforms along with a host of apps from the Google Play store.

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GADGETS & GIZMOS

Cool and clever gadgets and gizmos can turn us on, particularly the ones that surprise us with their extraordinary shapes, forms and features. And the day you give into these superlative electronic devices you will wonder how on earth you ever lived without them in the first place?

FUTURE MOTION ONEWHEEL PINT

APPLE AIRPODS The new Apple AirPods is the second generation of the maker’s wireless headphones. The new Apple-designed H1 chip, developed specifically for headphones, delivers performance efficiencies, faster connect times, more talk time and the convenience of hands-free ‘Hey Siri’. AirPods come with either a standard charging case or a new Wireless Charging Case for convenient charging at home and on the go. The new AirPods and AirPods with Wireless Charging Case are available to order on apple. com and the Apple Store app starting today, and in Apple Stores beginning next week.

OLYMPUS OM-D E-M1X The Olympus OM-D E-M1X camera is designed for the needs of professional users in terms of reliability, speed, precision and image quality but still offers the most compact and lightweight camera system in its class. Olympus’ newest addition to the professional OM-D line-up underlines the potential of the Micro Four Thirds sensor format and is packed with the latest imaging technologies in a robust casing with integrated vertical grip developed for maximum reliability and operability under all conditions. Featuring the world’s best image stabilisation (IS) performance, a re-developed and fast autofocus (AF) system, as well as two TruePic VIII image processors allowing for high-speed responsiveness and handheld High Res Shots, this powerhouse camera offers a compelling mix of impressive features and portability. In combination with Olympus’ high-resolution M.Zuiko lens line-up, it achieves high-end image quality and shows its true abilities especially in fields where portability, speed and reliability are absolutely essential, such as wildlife, documentary and sports photography.

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The new Apple-designed H1 chip features custom audio architecture to create an audio experience and improved synchronisation. H1 allows AirPods to deliver up to 50 per cent more talk time compared to first generation AirPods. Switching between devices while listening to music on iPhone, Apple Watch or iPad is more seamless than ever with two times faster connect times. For the first time, AirPods now feature the convenience of ‘Hey Siri’ making it easier to change songs, make a call, adjust the volume or get directions simply by saying, ‘Hey Siri’. The new AirPods come with either the standard charging case or the new Wireless Charging Case. Each case holds additional charges for more than 24 hours of total listening time, ensuring AirPods are charged and ready to go whenever you are.

The new Onewheel Pint from Future Motion is the lightest and most affordable Onewheel ever. The product has several new, refined features that make it more practical and easy to ride, including Maghandle, an integrated fold-out carrying handle on the side of the board that makes Pint easy to pick up and take with you, whether it’s onto the subway or into your house; Simplestop technology, which enables a simplified ride experience to help novices get riding with confidence right away; Lightbar, an LED light display on the board that gives visual indication of battery status and other notifications. In addition to new features, Pint also includes several technologies that Onewheel riders have come to appreciate, including Hypercore motor technology for a smooth, powerful ride experience, and the Onewheel App (available for Android and iOS), which enables users to change the way the board rides with Digital Shaping. Reaching speeds of 16 MPH and has a range six to eight miles, pint is the first onewheel available in multiple colour options, including slate, sand and a limited launch edition in sage. While many predicted that Future Motion would take their manufacturing to Asia as their production volumes expanded, Future Motion has re-committed to USA manufacturing by announcing Pint will be assembled at a new factory in San Jose, California.

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MOTORING

Bentley Bentayga V8 Design Series STRIKING NEW MODEL OFFERING DISTINCTIVE ROAD PRESENCE A contemporary-styled and visually-dynamic version of the world’s most luxurious SUV, the Bentley Bentayga V8 Design Series blends unique Mulliner exterior and interior features, together with a suite of existing Bentayga options, to create a highly desirable special edition. HANDCRAFTED IN CREWE, ENGLAND, THE SPECIAL EDITION BENTLEY BENTAYGA V8 DESIGN SERIES IS BASED ON THE DYNAMIC AND AGILE BENTAYGA V8. IT JOINS AN EXTRAORDINARY LINEUP OF MODELS THAT INCLUDES THE BENTAYGA SPEED AND THE BENTAYGA HYBRID. The Design Series further enhances the Bentayga’s elegantly sculpted and athletic stance, reflecting supreme levels of luxury and performance. Key new Mulliner

features include Palladium Grey Paragon alloy wheels and Self Levelling Wheel Badges. Inside the colour-themed cabin, an all-new carbon fibre weave and Duotone colour palette are available for the first time, as well as an accent design line colour split with Beluga main hide seats and a stylish Breitling clock with mother of pearl face.

EXTERIOR

The Design Series further enhances the Bentayga V8’s road presence, already sculpted with an elegant, timeless execution.

The SUV’s athletic stance has been amplified to create a dynamically striking and contemporary design statement. Bentayga Blackline specification is included as standard, with imposing features such as a body-coloured lower front bumper apron and twin gloss black tailpipes, to showcase the V8’s distinctive burble. Discreet Design Series badging on the lower front doors identifies this Bentayga’s special edition credentials. New Mulliner Paragon wheels are presented in a seven-spoke design, finished

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in a dark metallic Palladium Grey with polished accents. The Design Series also sees the introduction of the unique, Mulliner Self Levelling Wheel Badge. The ‘B’ badge centres maintain a vertical orientation as the wheels rotate, thanks to a sophisticated weighting mechanism.

INTERIOR

The Bentayga V8 Design Series adds an allnew interior design finish to the world’s most desirable automotive cabin. The Duotone interior palette offers four colourful and inspiring themes – Pillar Box Red, Orange, Mulliner White and Klein Blue – around a Beluga main hide. A new contrast accent design line colour split is introduced to the Bentayga range for the first time on the Design Series. It features a vivid, high contrast colour in the front of the cabin, focussed around the console and dashboard lower accent areas. Uniquely, the Design Series is presented with Duotone seat centre perforations both front and rear. The all-new carbon fibre weave applied to the dashboard and doors has been created especially for the Bentayga V8 Design Series. It features an intricate diamond quilted pattern with rich gloss

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MOTORING

finish. A Piano Black finish has been adopted on the console and centre fascia, complementing the dark tonal interior and distinctive design theme. Minimalist Duotone embroidery mirrors the exterior Design Series badge and is adopted on seatbacks throughout the cabin. Deep pile floor mats with contrast binding adds the finishing touch. Central to the dashboard is an elegant diamond jewelled Breitling clock, with light mother of pearl face. Passengers are welcomed into an exquisitely created cabin by ‘Bentley’ illuminated treadplates, while a Front Seat Comfort specification and drilled alloy sports pedals and footrest are also standard.

PERFORMANCE

The Bentayga V8 Design Series fuses exquisite luxury with power, usability and extensive sporting ability. With its new-generation 4.0-litre petrol engine, its responsive performance is fully customisable on demand by the driver through Bentley’s Drive Dynamics system, from limousine-like refinement to sporting precision.

The V8’s dynamic unit develops 542 bhp (550 PS) and 568 lb.ft. (770 Nm) of torque, resulting in a top speed of 180 mph (290 km/h) and 0-60 mph in 4.4 seconds (100 km/h in 4.5 seconds). As with all Bentaygas, the all-wheel drive Design Series is equipped with Electronic Differential Lock and four Drive Dynamic modes that help take luxury to new places. Sport mode provides a more dynamic drive, while a greater exhaust character, as well as a firmer suspension tune, further increase driver engagement.

BENTLEY’S CENTENARY – 100 YEARS OF EXTRAORDINARY

In 1919 Walter Owen (W.O.) Bentley created a company with a simple objective: to build “a fast car, a good car, the best in its class”. This guiding principle has driven Bentley ever since, pushing the brand forward and making it the leader in automotive luxury around the world today. The 10th of July 2019 marks Bentley’s 100th year. This extraordinary milestone – reached by only a special few companies – will be a cause for celebration of the company’s history and its global success today. l

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PROFILE - MOHAN REDDY

Mohan Reddy ENGINEERING SUCCESS ACROSS CONTINENTS A pioneer of the CAD/CAM culture in India and a name graced with distinctions and accolades, Mohan Reddy is the founder and executive chairman of Cyient, an engineering, manufacturing, data analytics, and networks and operations company that has been ranked among the top 30 outsourcing companies in the world as of 2018. AN ENTREPRENEUR WHO HAS FIRMLY PLACED INDIA ON THE GLOBAL MAP FOR LEADING-EDGE ENGINEERING, AND RESEARCH AND DEVELOPMENT (ER&D) SERVICES BY ESTABLISHING CYIENT  FORMERLY INFOTECH ENTERPRISES IN 1991, MOHAN REDDY IS A RECIPIENT OF INDIA’S FOURTH HIGHEST CIVILIAN AWARD – THE PADMA SRI AWARDED TO HIM IN 2017 FOR HIS CONTRIBUTION TO TRADE AND INDUSTRY IN THE COUNTRY. At 68, his list of achievements are multiple and considerable. For instance, Reddy’s efforts have led Cyient to contribute more than $3billion in cumulative exports from India to Fortune 100 companies and have created direct employment for about 15,000 engineering professionals in 47 locations across 22 countries. A pioneer in engineering design outsourcing from India, especially to the aerospace industry, Reddy has laid the foundation of ER&D services in India. He created the ‘Engineered in India’ brand by winning several prestigious awards including Boeing Supplier of the Year, Pratt & Whitney Supplier of the Year, and UTC Supplier Gold award. He was the first Indian and seventh globally to receive the prestigious ASME (American Society of Mechanical Engineers) leadership award in 2011 for outstanding leadership in advancing the use of computers in information engineering. Born into a middle class family with a police officer for father and a farmer for grandfather, business was the last thing on a young Reddy’s mind. However, technology fascinated him from an early age. “I still vividly recall my childhood days that I was very fascinated with steam driven ‘Road Rollers’ which were used for laying tar roads. I was so intrigued with that

monstrous equipment that I used to tell my friends ‘someday I will become a driver and drive that huge machine’. “As I grew, I started realising the role of technology in making just steam drive a 10 Tonne machine to compact and lay a tar road. It was then that my love and interest for engineering and technology started developing.” Reddy’s first major break came in 1982 when he became the CEO of a computeraided design/computer aided engineering (CAD/CAM) systems company. “It was a great opportunity for me to learn more about engineering in different areas and more importantly suggest solutions to customers on how computers could solve their design and engineering problems.” The path to success for the company was certainly not an easy one. “While I wished to establish a company that was unique, the opportunities in engineering where my interests lay, hardly existed. We had to remain flexible and it took us almost 10 years before customers started recognising our engineering DNA. Fast forward to today when we are amongst the top 10 engineering services companies in the world, it was a fulfilling journey.” In 1991 he created his company Cyient, then known as Infotech Enterprises, was up against odds in a market which seemed impossible to break into. “When we started, it was very difficult to convince the customers to outsource their core functions of design to a technology vendor based out of India. They were very apprehensive about IP protection laws in India and also capability of our engineers. However, we persisted with the idea for seven years before getting a major breakthrough. We used this time to build good quality systems, train our engineers and develop tools. We also used those

seven years to develop a good GIS practice centred around map digitisation. “In 2000, we got the major breakthrough we were after – it was with Pratt and Whitney, a $16billion American aerospace manufacturer with global service operations. They chose us as partners after seeing our processes and talent. They trusted us, and we lived up to their trust. As a result, the relationship scaled to create an industry benchmark.” Today customers expect Cyient to be their strategic partners and also share their risks in the mission-critical projects. To Reddy, this does not seem like a challenge but as an opportunity which his team are tapping well with their new business strategy that is helping Cyient move from just services to solutions and partner with clients across the product lifecycle. Reddy’s success stems from his belief that to break new ground, ideation is fundamental. “I constantly think about new ideas such as how things can be done better or how things can be done differently. Once you have an idea, you need to find a solution and you have to focus on flawless execution. Ideas, solutions and execution are three critical factors for breaking new ground. Success is the end result.” And Reddy’s success and relentless march to achieve is linked to how he views the future. “Future for me and indeed the whole world looks very promising. We live in times where technology is experiencing exponential growth and several factors are further amplifying the reach of technology. Application of technology in several sectors such as healthcare, agriculture, and education will make the world a better place to live. It will improve the comforts of mankind. And therein lies our true success.” l

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