With cybersecurity breaches at well-known companies hitting the headlines, it is easy to believe that family offices which maintain a low profile would not be a prime target for digital fraud.
However, this ignores the attractiveness of the information that is stored by a family office, their advisers and their financial institutions—information and data which is potentially useful to criminals who wish to steal from, harm or damage the reputation of a wealthy family.
The threat for family offices has increased since the implementation of the Common Reporting Standard. Designed to help fight against tax evasion and to protect the integrity of tax systems, this is an information gathering and reporting requirement for financial institutions in participating countries which requires banks and investment management firms to collect and report certain information relating to each customer’s tax status.
The information requested under the Common Reporting Standard includes, name, address, place and date of birth (for individual and controlling persons) countries and jurisdictions of tax residence, tax payer identification numbers, place of registration and incorporation…
