4Mês·

Glencore

I have just come across $GLEN (+0,9%) Glencore I just came across the abbreviation JE. According to Google it means Jersey. Can anyone enlighten me on this? Tax or legal. Thought it was a Swiss/Great Britain based company.

4 Comentários

All-in-or-nothing@All-in-or-nothing

4Mês

Tax reasons of course😉I can answer that for you without any help. Details quickly and clearly, thanks to ChatGPT:

Good question - the ISIN JE00B4T3BW64 belongs to Glencore plc, and the "JE" at the beginning of the ISIN indicates Jersey (Channel Islands) as the country of origin of the security. However, this does not mean that Glencore is operationally active there, but mainly for reasons of corporate and tax law.

Here is the background:
1. legal structure
- Glencore was originally founded in 1974 as a commodities trader (Marc Rich + Co) and was private for a long time.
- Before the IPO in 2011, a holding company was established in Jersey.
- Jersey is an internationally recognized financial center whose corporate law is attractive for large multinational holding companies (comparable to Cayman Islands or Bermuda).
2. tax considerations
- Jersey does not levy corporation tax on profits from international business.
- For a global commodity trading company such as Glencore (based in Switzerland with operations worldwide), this is advantageous for structuring dividend and capital flows more efficiently.
3. capital marketability
- The legal form of a "Jersey Company" is internationally recognized and compatible with stock exchange listings in London (LSE) and Johannesburg (JSE).
- This facilitated the IPO in 2011, as investors in the UK, Europe and South Africa were able to invest without any problems.
4 Operational reality
- Glencore plc has its operational headquarters in Baar (Switzerland).
- Jersey is only the legal domicile of the holding company, not the location of its operations.

👉 In short, the ISIN is "JE..." because the holding company is legally registered in Jersey. This is a typical move by multinational groups to combine flexible corporate structures, tax advantages and stock market access.

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TeePee@TeePee

4Mês

https://en.m.wikipedia.org/wiki/The_King_of_Oil

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TeePee@TeePee

4Mês

I recommend reading the book King of Oil, it's as exciting as a thriller!!!

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Spring R.@Springroll

4Mês

Top thanks.

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