Portugal has launched a determined bid, taking full advantage of the UK’s exit from the European Union, to lure asset management companies from London.
One bold claim is that Portugal’s regulators will simplify the process for asset management companies to register here.
The downside to this positive announcement is that the Bank of Portugal is involved. However, the Stock Market Regulator also wants to see specialist financial management companies come to Portugal and both say that they “are determined to make Portugal an appealing option” for investment managers.
The two regulators claim that applications will be approved ‘more quickly,’ incoming companies would deal only with one point of contact and support will be offered to asset managers in English.
‘More quickly’ in this context means a painfully slow six months. According to Helder Rosalino from the central bank, “the objective is to create the necessary conditions for firms that want to move to Portugal, within the context of the United Kingdom’s departure from the EU, so that they have clear and easy information to do so.”
Britain has the world’s second largest groups of asset management companies looking after over £9.0 trillion, managed mainly from London and Edinburgh.
The reality is that the Bank of Portugal and the government is way behind other of the EU's recognised financial centres, including Frankfurt and Paris, in attracting financial services companies that are leaving the UK to maintain the benefits of operating in a EU country.
