Tokyo hedge funds moving off-shore

I live here and I can tell you its all true. This place is a pain in the ass to do business on so many levels. I dont have any past experience with singapore, but we are working on a little project that involves just that. Setting up in Singapore. Only just getting started, but seems the way to go.
 
Why anyone on their right mind incorporate a hedge fund on a jurisdiction that taxes income and capital gains in the first place?
 
Generally speaking I would agree. But for us Singapore is only part of the setup. The main investment vehicle will be BVI or similar. Setting up offshore for Japanese companies in Singapore does have its advantages.@It offers some of the benefits of an offshore without being on the other side of the world.
 
Why cant you setup a subsidiary in japan that does marketing and gets clients(producing very little income) which would then refer the clients to the hedge fund domiciled in a tax friendly jurisdiction
 
I wish it was that easy.... The management of the fund needs to be physically located where the fund or fund manager is registered otherwise the taxman will consider it tax evasion and then your in trouble. Singapore offers a compromise. You get some of the benefits of an offshore in a country with sound infrastructure and not too far from home.
This is why a lot of Japanese businesses move to Singapore.
 
what are pulling a soros?a investment advisor company domicilied in japan while the fund is in cayman, the manager would be in cayman but he would be just enter the orders
 
Theoretically possible, but singapore is much closer to home than caymans etc ( the owner/manager doesnt want to move that far) and a much quicker and simpler process than doing it here (getting the licensing is a prohibitively long and expensive process, at least for us). There have been a number a problems with funds over the past few years in Japan so they are taking a very strong 'not on our doorstep' mentalilty
 
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