Bolder Fund Services Singapore is one of the market leaders in the establishment and the administration of Variable Capital Company structures (VCC). An interview with Alvin Tay, Head Of Business Development, South East Asia, regarding this remarkable success.
Can you give us a brief overview on Bolder Group?
Alvin: “Bolder Group is the result of the merger between AMS Financial Group and Circle Partners into one independent global organization. We build the fundamentals ‘at the base of your business’ through tailor made and global solutions covering an extensive range of seamless and connected solutions in funds, corporate, private wealth and governance services. At our company, we recognize that the Financial Services Industry is constantly evolving and our strategy is to manage the increased complexity in services and compliance: we pay full attention to the details, we update information, we monitor the international developments and we are responsive to the regulations that cause major shifts in our market.
This is why we provide insight, overview and take a solutions-oriented approach in the way we navigate the international corporate services industry. Our mission is simple: to keep our clients informed, involved and in control – At all times.”
How many VCC’s have been set up in Singapore till date?
Alvin: “According to the MAS (Monetary Authority of Singapore) that held a survey recently, there are over 300 Singapore based global and regional asset managers which incorporated and re-domiciled more than 400 of these structures by mid-October 2021. (source Reuters) Bolder Group has been involved in over 10% of these set ups.”
What makes the VCC so attractive to fund managers that wish to set up a local Singapore fund structure?
Alvin: “Bolder Group looks at the interest of the client, and we value the assessment phase to determine how best to facilitate the client. There have been some instances where we have suggested that a HK Limited Partnership would be a better solution than a Singapore VCC. In general, the VCC framework gives fund managers more flexibility in share issuance and dividend payment which allows them to set up multiple funds in a single VCC to reduce costs. VCCs can be used to set up a corporate structure for a stand-alone fund or for an umbrella fund with multiple sub-funds. They can be used for both traditional and alternative investment funds.”
In your view, what should be the top one or two operational priorities for fund management firms now, and why?
Alvin: “Our clients are increasingly focusing on their core competencies. There is a continued search for efficient and effective ways to improve their operating model in a way that adds value and is sustainable. Clients seek ways to lessen their burden due to an increase in fees by passing some of that pressure on to their providers. This is an opportunity for us to show how we can bring extra value by supporting clients with solutions that make their processes much more seamless and efficient.
We continue to support and enable our clients with the ability to follow and execute their ambitions – from start to finish by keeping them informed, involved and in control.”
The VCC framework gives fund managers more flexibility in share issuance and dividend payment which allows them to set up multiple funds in a single VCC to reduce costs.Alvin Tay – Head Of Business Development, South East Asia.
Where is the most resource focused at present in the development of your business?
Alvin: “Our focus is on getting the best talents in house to support our growing organization and digitizing our core offerings in order to provide clients access to their data in more innovative, real-time, efficient ways – delivering intraday insights and transparency. We have a very ambitious IT team that will launch next-generation data and analytics capabilities to help clients with their most complex data needs and challenges, and to capitalize on new data-driven opportunities.”
Where do you see Bolder Group in the next 5 years and how do you envisage your own personal development and goals?
Alvin: “The industry has and continues to experience challenging times due to a number of factors, two of which demand a response to the evolution of technology and address the changes in regulations. Bolders’ state of readiness to mitigate these challenges, is to stay on the cutting edge of technology and utilise the expertise of the Team in order to effectively manage any changes in this complex global marketplace. Our core systems are dedicated to the investment management community and are continuously adapting to market developments and regulatory changes.
These are exciting times, and our Team continues to position themselves to take the client and themselves to the next phase. With offices in all major financial jurisdictions, Bolder Group is well aligned to approach these challenges given our willingness to adapt and entrepreneurial mindset, which will result in Bolder continuing to maintain a major share in this market.
I am encouraged that the current framework of the VCC legislation in Singapore is well equipped to take us to the next level.
On a personal level, my continued focus is to evolve and adjust recognizing the changing landscape. It would be remiss of me not to mention that this is reflective of the current mindset of the Group, like-minded individuals who have charted a course to find ways to value-add to both internal and external stakeholders.”