Month: October 2018

The Minister of State and members of the Government presented the draft Primitive Budget for 2019 on 23rd October.

“The Government has worked a lot on the main arbitrations that make Monaco prosperous. What prevailed in our preliminary discussions with the National Council was the search for a budget in the sense of the general interest,” said the Minister. state in the preamble.

He added that “the public finances were in balance and that the BP 2019, with a surplus of 3.7 M € against 2 M € in the BP 2018, responded to the perpetuation of this balance”.

The budget forecasts, compared to BP 2018, provide revenues of € 1346 million, or + € 128.5 million (+ 10.6%) and expenditure of € 1342 million, or +126.8 million. € M (+ 10.4%).

This budget takes into account new orientations: digital transition, energy transition, increased acquisitions and intermediate housing operations, education policy focused on e-education and personalized guidance. It also pursues priority actions already undertaken in social, educational, security and quality of life.

From 4 to 12 October 2018, the Tourism and Convention Department (DTC) accompanied the Monte Carlo Ballet Company during its promotional tour to Mexico.

In Guadalajara then Guanajuato, especially during the Cervantino festival, the DTC delegation invited local customers as well as representatives of travel agencies to attend Jean Christophe Maillot’s “Lac” show.

During this tour, the DTC also went to Monterrey and Mexico to meet media but also Influencers likely to promote the Principality to a more targeted clientele.

Monaco Life recently caught up with Richard Ditizio, President and COO of the Milken Institute, who was in town to discuss with Monaco Life publisher Eric Brundage and members of His Serene Highness Prince Albert’s administration how we can all work together to position Monaco as a centre of excellence for families interested to understand how best to channel their philanthropic resources.

For those readers not familiar with the Milken Institute, it is a non-profit, non-partisan think tank focused on promoting collaborative solutions to some of the toughest problems facing the planet and its inhabitants.

Prior to joining the Milken Institute, Mr. Ditizio was the CEO of Citi Private Bank and has spent much of his career counselling clients on issues such as business succession, philanthropy and the challenges of raising children amid great affluence. Mr. Ditizio was kind enough to share his thoughts on these issues with Monaco Life.

Monaco Life: What led you to focus your efforts on the issues affluent parents face in raising their children?

Ditizio: I’ve spent my career helping UHNW families manage and protect their wealth, but more often than not the financial component of that work was the easier part. What they really needed help with was navigating through the confusion that often accompanies great wealth.

There is no handbook for parents that explains how to instil a principled existence into your heirs, and the psychodynamics of wealth are extremely challenging. I have for years worked with families where inherited wealth has led to terrible decision making, substance abuse, even suicide. And it is such a shame because there are strategies that can be pursued that can help with some of these issues some of the time.

Monaco Life: In your experience, what are some of the ways parents can interact with their children to mitigate these risks?

Ditizio: Firstly, parents need to develop a language to get comfortable talking to their children about having a lot of money. I firmly believe that philanthropy can be a curative mechanism to many of these issues. Given the extraordinary – and often quite public – financial success of some families, it can be extremely difficult for children to craft an independent identity away from the family fortune.

That creates an odd dynamic with these children, whose inheritance will often dwarf any wealth they accumulate on their own. I am convinced that one’s identity is very much impacted by what they feel they’ve contributed.

Monaco Life: What resources does the Milken Institute provide to help structure these conversations?

Ditizio: The Milken Institute has created the Center for Strategic Philanthropy (CSP), where we discuss with many ultra affluent families the potential issues their children may face. Having a positive societal intention through philanthropy can often spur meaning, creativity and independence in adult children, and I believe it is very helpful for all members of the family to understand the external impact giving.

The Advisory Service provided by CSP helps families sharpen their philanthropic focus by asking three questions: What is the ambitious change you passionately want to see in this world? Do my philanthropy, energy and insights align with my cause? Do I have a community of peers and experts to learn from?

Monaco Life: What are some of the specific ways you counsel these families?

Ditizio: It’s about activating your wallet, whether that wallet contains a thousand or a billion dollars. Philanthropy should be thought of as a portfolio- to be most effective, there should be short term as well as long term goals, and a diversifies set of interests. The whole philanthropic world relies on collaboration – it isn’t that your dollar has to solve a particular problem, it’s that you hope your dollar leads to the dollar that does.

And collaboration within the family is of equal importance. I very much like the idea of “stewardship” when discussing inheritance as it imparts responsibility on the recipient. I might suggest to the children that “you did not create the fortune you are now inheriting, so the testament to your parents and grandparents rests in how productively you use this gift”.

I always ask the parents, “Are you preparing your children to navigate the world without you”?

The answer is almost always, “Yes!”

I then ask, “Tell me three specific things you are doing.”

That’s when the room goes silent. While these issues are certainly challenging, I continue to believe that engaging your children in philanthropy can provide a treasure trove of lessons as you begin discussing wealth, as it illustrates the transition from “what money can buy” to “what money can do”.

And that discussion can begin much earlier than most parents realize. I advise parents to give a small amount of money – say $300 – to each child starting on their 10th birthday with the requirement that they give it away to an organization that works on something they care about. Nothing makes children appreciate their advantage more than staring disadvantage in the face.

In working with Michael Milken all these years, I’ve heard him ask people, “What do you stand for”?

It’s really a rhetorical question in the context it’s asked, but I often see a wave of panic sweep over the faces of the people. This is not a trick question, especially since the only one who can know what you stand for, is you. So among the things you need to decide is what you stand for. Then tell your children. It could start a conversation you both will be happy you’ve had.

Monaco Life: Rich, thank you so much- those are fascinating insights and we very much look forward to working with you and the entire team at the Milken Institute to promote the mission of strategic philanthropy to our community.

France’s second airport has been rewarded for its global sales strategy, which includes the renovation of its terminals, the reworking of its offer of sales outlets, its customer satisfaction ratings and its strategic vision with brands and operators.

Nice Côte d’Azur overcame the competition from Schiphol and Heathrow.

On the occasion of the Cannes Tax-Free World exhibition, the independent retailing professionals from the world over on the jury of the 2018 Frontier Awards, rewarded the work that Nice Côte d’Azur airport has done over the past four years to rethink passenger journeys and to renew its entire commercial offer.

“Our starting point was the fact that our airport benefits from a unique location in the heart of the French Riviera, which is an internationally renowned tourist and business destination with a range-topping brand image,” Filip Soete, Sales Director of Aéroports de la Côte d’Azur.

“Nice Côte d’Azur has a duty to live up to its surrounding region, by offering the most surprising shopping experience of all Europe’s airports.”

The first step of this major programme consisted of refurbishing the two terminals to achieve two goals: smoother passenger movements allowing for more spare time, and a larger boarding area to propose a broader and more varied offer.

With expert advice from the Martine Leherpeur Conseil firm of consultants, Nice Côte d’Azur focused on four categories: Riviera essentials, French essentials, trendsetters and airport essentials.

In four years, the number of sales outlets has increased by 71% to 77: six duty-free shops, 33 stores, including four pop-up stores, 26 restaurants or take-aways and 12 service areas.

“The upselling of the airport is demonstrated by some achievements of which we can be proud. The Versace store is the first one on the Riviera. We also boast the first ever Fragonard and The Kooples shops in an airport. We have also attracted the talents of Thierry Marx, with his two Michelin stars, who opened La Plage in terminal 1, and of Mauro Colagreco, the world’s third-ranking chef, who created the menu of L’Estivale in terminal 2”, explains Valérie Chuong, Head of the Shopping and Services Development department.

Global lifestyle brand Quintessentially is expanding its presence as leader of the luxury living market, with a strategic new office opening in Monaco, where year-round sunshine, fine living, a vibrant financial sector and a unique sense of security have attracted a multicultural high net worth community.

Quintessentially’s expansion into the region coincides with the group’s brand refresh, highlighting its global powerhouse status in the luxury lifestyle sector. With requests for personalised, innovative experiences increasing by 60%, and a desire from members looking to engage with the world around them, Quintessentially has its sights firmly set on the future. It is focusing its energies on connecting likeminded people, communities and brands through meaningful experiences and engaging content, while exploring global perspectives and fostering conversations.

The team in Monaco will be led by CEO Paulo Ribiero and General Manager, Lucrecia Vogogna, both highly experienced with over 30 years in the luxury travel industry. As Monaco has the highest number of millionaires/billionaires per capita, having a team on-the-ground allows Quintessentially to offer its services and experiences to a broader elite audience.

Paulo Riberio, CEO of the Monaco office says, “We are very excited about launching our office in Monaco, as it is a world-class arena for the most ambitious events and prestigious luxury brands on Earth. Our members will have the opportunity to be part of some truly exceptional, once-in-a-lifetime experiences, combined with luxury services, thanks to our outstanding team of lifestyle experts and partnerships.”

Located in the heart of Monaco on Boulevard Princesse Charlotte, the office is easily accessible and perfectly placed to service all member requests, no matter how big or small. Services offered include lifestyle management and elevated experiences. To date, the team has been involved with a host of top-flight experiences, including private F1 terraces, yacht charters, private helicopter tours, the best Michelin-starred restaurant events, and a personalised tour of the palace and casino rooms.
Annastasia Seebohm, Quintessentially’s Global CEO, says, “In a modern world where expectations are elevated, our members look for immediacy, and it is therefore more important than ever for Quintessentially to be present on-the-ground wherever our members live, work and play. We are delighted to welcome Monaco into the Quintessentially family, where it will offer services and experiences that are truly personalised, maximising our members’ precious time and enriching their lives.”

In support of the International Day of the Rights of the Child, which takes place each year on November 20th, many merchants of the Principality have decided to join the Children’s Moneybox initiative, launched under the Direction of National Education, Youth and Sports.

Customers of businesses in the Principality will be able to make a donation of the amount of their choice at the end of their purchases. The full amount of the proceeds will then be donated to the 11 Monegasque humanitarian associations working for children around the world.

The National Education, Youth and Sports Department will also carry out numerous actions with these partner associations from 16 November and will host several information and public awareness stands.

As a reminder, the Principality is mobilizing every year for the International Day of the Rights of the Child, which celebrates the anniversary of the International Convention adopted by the General Assembly of the United Nations on November 20, 1989.

The eleven associations are

• Action Innocence Monaco
• Amade Monaco
• Casa Do Menor
• Child Care Monaco
• Children & Future
• Digital Aid
• The Children of Frankie
• Interactions & Solidarity
• Mission Childhood
• Support Volunteering
• Walking For Kids