Connect with us

Investing

Investor Visa Renewal Delays: ‘Brexit Goes Both Ways’, Warn Immigration Lawyers

Published

on

Investor Visa Renewal Delays: ‘Brexit Goes Both Ways’, Warn Immigration Lawyers

UK Could See Significant Drop In Foreign Investment If Visa Delays Continue

Personal immigration experts at leading national law firm Irwin Mitchell Private Wealth are warning that delays on visa renewals for foreign investors could become the new reality with Brexit.

The warning comes after it was confirmed by sources that Chelsea football club owner Roman Abramovich, who primarily resides in Russia, had faced delays in renewing his Tier 1 Investor visa. Irwin Mitchell’s immigration team says it is a reminder that extreme wealth and promises of investment does not automatically guarantee entry into the UK under the current environment.

MrAbramovich has significant business interests in the UK, having contributed financially to Chelsea FC during his tenure as manager of the club. He is also reputed to own a £90m property in Kensington and substantial assets in the UK.

The Russian billionaire has since immigrated to Israel and has been granted Israeli citizenship. As an Israeli citizen, he will be allowed to enter the UK for six months at a time but will be unable to carry out any paid or unpaid work while in the UK.

The change in the government’s approach is symptomatic of a wider crackdown. On the 28 March 2018 the UK Home Office confirmed it was conducting a review of visas issued to foreign investors from 2008 to 2015, affecting thousands of high-net-worth individuals who currently reside or have business interests in the UK.

According to immigration experts at Irwin Mitchell Private Wealth, most Tier 1 Investor visas are issued to Russian and Chinese investors, who are required to invest a minimum of £2m in funds in the UK economy.

Mandeep Khroud, immigration expert and senior associate at Irwin Mitchell Private Wealth, said: “It should come as no surprise that we’re beginning to see delays in renewing Tier 1 investor visas.

Brexit works both ways. The UK voted for more control over immigration, and that applies to high-net-worth foreign investors as well as the headline-grabbing migrant population the media focuses on.

“Lately we have been receiving enquiries from these investors who want advice on what to do now that their business interests are being looked at with much more scrutiny than before.”

The Abramovich case could result in unintended ramifications for the UK economy. The Tier 1 Investor visas provide a lucrative flow of investment funding for UK businesses – if difficulties were to arise in renewing or applying for visas, the UK could see a downturn in applications and as a result, less inward investment.

“It’s entirely possible that our economy will suffer as a result of this,” Mandeep added. “Less foreign investment into the UK would result in reduced inward investment and as a consequence impact the UK’s ability to compete as a major player in the world economy.

“Visa renewals can be extremely complicated if there are multiple assets and corporate structures involved, so it’s important to get the application correct from the start. With Brexit making life even more difficult for them, foreign investors may just decide not to bother in the future.”

Investing

Dollar edges lower as investors favor higher-risk currencies

Published

on

Dollar edges lower as investors favor higher-risk currencies 1

By Stephen Culp

NEW YORK (Reuters) – The dollar lost ground on Friday as market participants favored currencies associated with risk-on sentiment over the safe-haven greenback.

Risk appetite was stoked by better-than-expected economic data and expectations that U.S. President Joe Biden’s proposed $1.9 trillion coronavirus relief package will come to fruition.

“The dollar’s down against other currencies but not by a whole lot,” said Oliver Pursche, president of Bronson Meadows Capital Management in Fairfield, Connecticut. “I expect the dollar to be where it is now at the end of the year, and the main reason for that is while I see some signs of improvement in the economy, monetary policy is going to stay where it is.”

“I don’t think the dollar is underpriced or overpriced,” Pursche added.

For the week, the dollar slid about 0.2% against a basket of world currencies, the euro was essentially flat, and the yen lost more than 0.5%. But the British pound advanced more than 1.1% against the dollar, its best week since mid-December.

Bitcoin continues soar to record highs. The world’s largest cryptocurrency was last up 6.6% at $54,961.67, hitting $1 trillion in market capitalization.

Its smaller rival, ethereum, was last up 0.7% at $1,953.28.

The digital currencies have gained about 89% and 1,420%, respectively, year to date, leading some analysts to warn of a speculative bubble.

“One concern I’ve always had (about cryptocurrencies) is how susceptible they are to manipulation,” Pursche said. “But they’re going to continue to gain legitimacy.”

“While it’s great that Tesla made an investment in bitcoin, I’m more intrigued by Blackrock and other major investment firms taking a hard look at cryptocurrencies as a viable investment.”

The Australian dollar, which is closely linked to commodity prices and the outlook for global growth, was last up 1.21% at $0.7863, touching its highest since March 2018.

The New Zealand dollar also gained, closing in on a more than two-year high, and the Canadian dollar advanced as well.

Sterling, which often benefits from increased risk appetite, rose to an almost three-year high amid Britain’s aggressive vaccination program. It had last gained 0.27% to $1.40.

The euro showed little reaction to a slowdown in factory activity indicated by purchasing manager index data, rising 0.21% to $1.2116.

The yen, gained ground against the dollar and was last at 105.495, creeping above its 200-day moving average for the first time in three days.

(Reporting by Stephen Culp, additonal reporting by Tommy Wilkes; editing by Jonathan Oatis)

Continue Reading

Investing

Shares rise as cyclical stocks provide support; yields climb

Published

on

Shares rise as cyclical stocks provide support; yields climb 2

By Saqib Iqbal Ahmed

NEW YORK (Reuters) – A gauge of global equity markets snapped a 3-day losing streak to edge higher on Friday, as the recent selling pressure on high-flying big technology-related stocks eased even as investors showed a preference for economically sensitive cyclical sectors.

Oil prices fell from recent highs as Texas energy companies began preparations to restart oil and gas fields shuttered by freezing weather, while the U.S. Treasury yields extended their recent rise.

The MSCI’s global stock index was up 0.47% at 681.88, after losing ground for three consecutive sessions.

On Wall Street, stocks steadied as cyclical sectors edged higher while tech names made modest advances after concerns about elevated valuations led to some selling in recent sessions.

“What we saw (this week) represents a market that is tired and may not do very much. So we are headed for some sort of a pullback, but I don’t think we’re there just yet,” said Peter Cardillo, chief market economist at Spartan Capital Securities in New York.

“Investors are not really pulling out of the market, but they are becoming more cautious. It already has factored in another good positive earnings season.”

The Dow Jones Industrial Average rose 119.97 points, or 0.38%, to 31,613.31, the S&P 500 gained 12.93 points, or 0.33%, to 3,926.9 and the Nasdaq Composite added 92.58 points, or 0.67%, to 13,957.93.

The S&P 500 technology and communication services sectors, housing high-value growth stocks, were among the smallest gainers in early trading, while financials, industrials, energy and materials rose more than 1%.

European shares edged higher on Friday as an upbeat earnings report from Hermes boosted confidence in a broader economic recovery. The pan-European STOXX 600 index was 0.64% higher.

U.S. Treasury yields on the longer end of the curve rose to new one-year highs on Friday as improved risk appetite boosted Wall Street, while the yield on 30-year inflation-protected securities (TIPS) turned positive for the first time since June.

Core bond yields have pushed higher globally, led by the so-called reflation trade, where investors wager on a pick-up in growth and inflation. Growing momentum for coronavirus vaccine programs and hopes of massive fiscal spending under U.S. President Joe Biden have spurred reflation trades.

The benchmark 10-year yield was last up 5.1 basis points at 1.338%, its highest level since Feb. 26, 2020.

Oil prices retreated from recent highs for a second day on Friday as Texas energy companies began preparations to restart oil and gas fields shuttered by freezing weather.

Unusually cold weather in Texas and the Plains states curtailed up to 4 million barrels per day (bpd) of crude oil production and 21 billion cubic feet of natural gas, analysts estimated.

Brent crude futures were down 28 cents, or 0.44%, at $63.65 a barrel, while U.S. West Texas Intermediate (WTI) crude futures fell 66 cents, or 1.09%, to $59.86.

Copper jumped to its highest in more than nine years on Friday and towards a third straight weekly gain as tight supplies and bullish sentiment towards base metals continued after the Chinese New Year.

Spot gold XAU= was down 0.58% at $1,785.71 an ounce.

The dollar lost ground on Friday, extending Thursday’s decline as improved risk appetite sapped demand for the safe-haven currency and drew buyers to riskier, higher-yielding currencies. The dollar index was off 0.295%.

Bitcoin hit yet another record high on Friday, hitting a market capitalization of $1 trillion, blithely shrugging off analyst warnings that it is an “economic side show” and a poor hedge against a fall in stock prices.

(Reporting by Saqib Iqbal Ahmed; Editing by Nick Zieminski)

Continue Reading

Investing

Oil falls after surging past $65 on Texas freeze

Published

on

Oil falls after surging past $65 on Texas freeze 3

By Stephanie Kelly

NEW YORK (Reuters) – Oil prices fell on Thursday despite a sharp drop in U.S. crude inventories, as market participants took profits following days of buying spurred by a cold snap in the largest U.S. energy-producing state.

Brent crude fell 41 cents, or 0.6%, to settle at $63.93 a barrel. During the session it rose as high as $65.52, its highest since January 2020.

U.S. West Texas Intermediate (WTI) crude futures fell 62 cents, or 1%, to settle at $60.52 a barrel, after earlier reaching $62.26, the highest since January 2020.

Brent had gained for four straight sessions before Thursday, while WTI had risen for three.

“The market probably got a little bit ahead of itself,” said Phil Flynn, a senior analyst at Price Futures Group in Chicago. “But make no mistake, this selloff in oil doesn’t solve the problems. The problems are going to persist.”

Though some Texas households had power restored on Thursday, the state entered its sixth day of a cold freeze. It has grappled with refining outages and oil and gas shut-ins that rippled beyond its border into Mexico.

The weather has shut in about one-fifth of the nation’s refining capacity and closed oil and natural gas production across the state.

“The temporary outage will help to accelerate U.S. oil inventories down towards the five-year average quicker than expected,” SEB chief commodities analyst Bjarne Schieldrop said.

Prices dropped despite a decrease in U.S. oil inventories. Crude stockpiles fell by 7.3 million barrels in the week to Feb. 12, the Energy Information Administration said on Thursday, compared with analysts’ expectations for an decrease of 2.4 million barrels.

Crude exports rose to 3.9 million barrels per day, the highest since March, EIA said.

“The big nugget was the big jump in exports of crude oil,” said John Kilduff, partner at Again Capital in New York. “We’ll have to see what happens with that next week weather in Texas, but I have been looking for a pickup there for a while.”

Oil’s rally in recent months has also been supported by a tightening of global supplies, due largely to production cuts from the Organization of the Petroleum Exporting Countries (OPEC) and allied producers in the OPEC+ grouping, which includes Russia.

OPEC+ sources told Reuters the group’s producers are likely to ease curbs on supply after April given the recovery in prices.

(Additional reporting by Yuka Obayashi in Tokyo; editing by Emelia Sithole-Matarise, Steve Orlofsky, David Gregorio and Jonathan Oatis)

 

Continue Reading
Editorial & Advertiser disclosureOur website provides you with information, news, press releases, Opinion and advertorials on various financial products and services. This is not to be considered as financial advice and should be considered only for information purposes. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third party websites, affiliate sales networks, and may link to our advertising partners websites. Though we are tied up with various advertising and affiliate networks, this does not affect our analysis or opinion. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you, or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish sponsored articles or links, you may consider all articles or links hosted on our site as a partner endorsed link.

Call For Entries

Global Banking and Finance Review Awards Nominations 2021
2021 Awards now open. Click Here to Nominate

Latest Articles

How data and analytics are transforming the insurance market 4 How data and analytics are transforming the insurance market 5
Interviews2 mins ago

How data and analytics are transforming the insurance market

Global Banking and Finance Review recently caught up with John Beal, Senior Vice President, Analytics, Insurance, LexisNexis Risk Solutions to...

How do you adapt your insurance pricing strategy in the face of increased price competition? 6 How do you adapt your insurance pricing strategy in the face of increased price competition? 7
Top Stories8 mins ago

How do you adapt your insurance pricing strategy in the face of increased price competition?

By Ketil Kristensen, Senior Advisor, Insurance, SAS Many countries in Europe have in previous years experienced increased price competition for...

British Airways owner IAG boosts liquidity by 2.45 billion pounds 8 British Airways owner IAG boosts liquidity by 2.45 billion pounds 9
Business28 mins ago

British Airways owner IAG boosts liquidity by 2.45 billion pounds

LONDON (Reuters) – British Airways owner IAG raised total liquidity by 2.45 billion pounds ($3.4 billion), through a loan and...

European shares drop on inflation risk concerns; Lagarde speech eyed 10 European shares drop on inflation risk concerns; Lagarde speech eyed 11
Top Stories31 mins ago

European shares drop on inflation risk concerns; Lagarde speech eyed

(Reuters) – European shares fell on Monday as concerns over the risk of higher inflation due to a jump in...

FTSE 100 falls as inflation concerns weigh 12 FTSE 100 falls as inflation concerns weigh 13
Trading35 mins ago

FTSE 100 falls as inflation concerns weigh

(Reuters) – London’s FTSE 100 fell on Monday as higher commodity prices sparked fears of a spike in inflation, while...

Canada's GardaWorld to not raise bid for UK security firm G4S further 14 Canada's GardaWorld to not raise bid for UK security firm G4S further 15
Business1 hour ago

Canada’s GardaWorld to not raise bid for UK security firm G4S further

(Reuters) – Canada’s GardaWorld said on Monday it would not raise its offer for Britain’s G4S Plc further, appearing to...

Rio Tinto executives say goodbye to 2020 with chunky payouts 16 Rio Tinto executives say goodbye to 2020 with chunky payouts 17
Business2 hours ago

Rio Tinto executives say goodbye to 2020 with chunky payouts

MELBOURNE (Reuters) – Three Rio Tinto executives forced to leave the company after the destruction of sacred rock shelters at...

OPEC, U.S. oil firms expect subdued shale rebound even as crude prices rise 18 OPEC, U.S. oil firms expect subdued shale rebound even as crude prices rise 19
Top Stories3 hours ago

OPEC, U.S. oil firms expect subdued shale rebound even as crude prices rise

By Alex Lawler and Jennifer Hiller LONDON/HOUSTON (Reuters) – OPEC and U.S. oil companies see a limited rebound in shale...

Australia's Macquarie raises guidance after U.S. winter freeze 20 Australia's Macquarie raises guidance after U.S. winter freeze 21
Business4 hours ago

Australia’s Macquarie raises guidance after U.S. winter freeze

By Paulina Duran and Jonathan Barrett SYDNEY (Reuters) – Macquarie Group lifted its profit guidance on Monday, sending shares to...

Baidu-Geely EV venture names Mobike co-founder as chief 22 Baidu-Geely EV venture names Mobike co-founder as chief 23
Business4 hours ago

Baidu-Geely EV venture names Mobike co-founder as chief

BEIJING/SHANGHAI (Reuters) – China’s Baidu Inc and automaker Geely hired Mobike co-founder and former chief technology officer Xia Yiping as...

Newsletters with Secrets & Analysis. Subscribe Now