2007
Cyprus, Ireland, and Switzerland are the top three countries in a league table of European tax systems, compiled by KPMG International, in which major business organizations across Europe assessed the attractiveness of their domestic tax regimes. All three countries were rated highly for their combination of consistency in interpreting tax legislation, stability in resisting frequent changes to tax laws, and comparatively low tax rate.
Amidst all the turmoil affecting the financial markets, one specific sector of the banking industry stands unperturbed, claims research out today. The global private banking and wealth management sector - responsible for USD100,000 bn of wealthy individuals' assets - remains in confident mood, claims professional services organization KPMG International.
Companies are costing shareholders money - losing around six percent of their share price - as a result of their inability to provide accurate forecasts, claims research out today. Supply and demand, sales growth and financial estimates are all among the areas which companies provide forecasts on. The research - from the Advisory practice of KPMG - shows that the average forecasting discrepancy comes in at 13 percent.
The cantonal banks set up as public-law institutions are largely exempt from corporate income tax and capital tax. Cantonal banks established as stock corporations do not enjoy this same privilege. Both the federal government and the cantons would benefit from the elimination of the special tax treatment given to most cantonal banks.
Worldwide, 40 percent of fund managers have diversified into long only funds and 30 percent into alternatives in the last three years, causing convergence in investment strategies used in different sectors in their industry and in cash terms alternatives have attracted larger sums according to a new study published today by KPMG International and CREATE-Research.
KPMG announced that François Rouiller has been appointed head of the Basel office as of October 2007. François is a Partner at KPMG Switzerland since 2005. Orlando Lanfranchi assumed responsibility for the Audit Department for German-speaking Switzerland in June 2007.
With the market outlook mixed on mergers-and-acquisitions activity, companies need an edge in evaluating targets. An analysis by KPMG International and University of Chicago Graduate School of Business Professor Steven Kaplan of 510 corporate deals found that cash transactions involving companies with below-average price-to-earnings ratios are most likely to improve shareholder value.
Philippe Fleury (36) has been appointed as the new head of Forensic Suisse Romande, effective October 1, 2007. Peter Jonker (35) will be in charge of building and managing Forensic Ethics & Integrity of KPMG Switzerland.
KPMG has announced that Dr. Elisabeth Kruck is to take up the reins at the Zug branch starting October 1, 2007. She has been a partner at KPMG Switzerland for the past 15 years. Previous head Reto Zemp moves to Zurich.
For the second year in a row, KPMG has joined efforts with Ecole Polytechnique Fédérale de Lausanne ("EPFL") to encourage innovation in Switzerland. This time the award goes to Sai Reddy for a new, more efficient and more cost-effective vaccination technique than conventional methods. He succeeds Christof Faller, winner of the competition in 2006, who is now a successful entrepreneur.
The new competence center for Audit Financial Services and Legal at KPMG in Lugano consists of auditors and advisors who are intimately familiar with the regional market and have professional experience at a national level.
The cost of fighting money laundering has risen dramatically for banks across the world as they have become increasingly engaged in the struggle against criminality. However, the task is becoming more difficult due to the increasing complexity of the financial markets in which they operate, including greater exposure to sometimes unfamiliar emerging markets and the dramatic growth of alternative assets, according to a global study by KPMG.
KPMG research finds 'disconnect' between funds management industry and Generation Y. Profound demographic change will force the funds management industry to look beyond the 'baby boomers' to today's Generation Y 'twenty-somethings', according to a new KPMG study.
The annual study carried out by KPMG on the development of the rates of corporate taxation in over ninety countries shows once again that Switzerland has maintained a favorable position in the face of tough international competition. Switzerland leads the way by a high margin in the field of value added tax.
The merger between KPMG Switzerland (KPMG AG) and the KPMG member firms in UK and Germany will establish "KPMG Europe LLP", the largest and most effective audit and advisory firm in Europe with around 18.000 employees generating sales of approximately 3.5 billion Euro. All 120 Partners of KPMG Switzerland will become Partners of KPMG Europe. The decision was reached by the Partners of KPMG Switzerland during yesterday's partnership meeting in Zurich.
A recent study published by KPMG shows that many major organizations worldwide are unable to identify the benefits they derive from their outsourcing contracts. Furthermore, forty-two percent of all outsourcing contracts are not supported by a strategic measurement system. However, the study conducted by KPMG International documents that outsourcing has become a generally accepted business practice, which will be used increasingly in the future.
KPMG on May 16, 2007 announced results of a survey designed to identify key change drivers for the life insurance industry. Unveiled at the Institute of Economic Affairs' 10th Anniversary Conference in London, the findings reveal that over 50% of the top UK life insurance companies feel cost reduction will be the key factor motivating change for the next two years, jumping ahead of structural organization and operational efficiency.
Timothy P. Flynn, 50, has been elected chairman of KPMG International for a four-year term, effective October 1, 2007. He succeeds Sir Michael Rake, who is retiring from KPMG - and will become the next chairman of BT Group plc.
Daniel Senn will become head of the Audit Financial Services Division (auditing for banks and insurance companies) at KPMG Switzerland and is a new member of executive committee as of 1 June 2007. Alexander Gut has decided to leave KPMG to work as an independent corporate finance consultant.
Emad Bibawi (35) has been appointed as the new head of KPMG Switzerland's Internal Audit Services (IAS) practice effective May 1, 2007. Hans-Ulrich Pfyffer will be in charge of building and managing the Professional Practice Department within KPMG's Advisory Services.
In their efforts to reduce costs and improve profitability, companies have widened their focus to tap potential cost savings and efficiency improvements also in support or back-office functions. Concepts like shared services and outsourcing continue to gain popularity, promising significant support function cost reduction of fifteen to twenty percent, or more. However, companies intending to implement such concepts should remain realistic and be aware of the many challenges and significant organizational changes necessary.
In an age when criminals can digitally flash stolen money and intellectual property across the globe in an instant, corporations are often unprepared to investigate fraud promptly and effectively if it occurs in a country other than where they are headquartered, according to new research by KPMG.
The 13th edition of "Opportunities and Risks from developments in the law 2006/2007" gives an overall view of key changes in economic legislation as well as current developments in practice.
The publication is available in German, French and English from Schulthess Verlag.
Most fraud offences are committed by management. This is the finding of the Profile of a Fraudster Survey 2007 by KPMG. The first-ever study conducted on the basis of actual fraud cases clearly reveals that the perpetrators usually exploit inadequate internal controls for their own benefit - resulting in substantial material and immaterial damage for the company.
The 4,221 lump-sum taxpayers make a significant contribution to tax revenues at the national, cantonal and municipal levels. In seven cantons, lump-sum taxpayers contribute as much as 2 percent of the total private tax revenue. Graubunden receives over 3 percent of its tax revenues from individuals who are taxed on expenditure, while in Valais the figure is 5.2 percent. These are the findings of a KPMG survey of cantonal tax and other governmental offices.
The strong rise and volatility of energy and commodity prices are putting pressure on the profitability of numerous companies. Despite this, many of them are refusing to hedge the risk by putting in place appropriate tools. Most companies are contenting themselves with passing prices on to the consumer. These are the findings of a broad study by KPMG.
Small, incremental changes to their cost reduction strategies are the extent of most companies' ambitions, says a survey out today. KPMG International commissioned the Economist Intelligence Unit (EIU) to undertake the research; the findings of which indicate that almost two-thirds of companies set themselves cost reduction targets of no more than 3 percent per year.
Merck Serono's IT remains the number 1 in the Life Science Industry in KPMG's IT Benchmarking Survey, for the second consecutive year. Moreover and resulting from continuous improvement efforts, Merck Serono's IT achieves the maximum rating of 5 for the six domains of control which are part of this analysis, with a progression from 4.6 last year to 5 in 2006. In the same time period, KPMG noted that the first quartile which represents the most competitive firms has grown from 4.5 to 4.8.