A deep dive into the World Citizenship Report with Micha Emmett, CEO of CS Global Partners

The World Citizenship Report (WCR) examines which countries offer the most benefits for global citizens, particularly in a post-COVID world where those with the means are consistently searching for greater opportunities and better protection options.?

We sat down with Micha Emmett, CEO of CS Global Partners, to discuss the WCR and the underlying motivations and concerns of global citizens.??

Q: With so many reports floating around the immigration investment industry, what sets this one apart???

ME: I wanted us to develop an index that would look beyond global mobility and truly focus on the intrinsic needs of a global citizen. This foundation of the index deep dives into the real motivators that drive our personal decisions to move countries, set up new businesses or send our children to school in a different jurisdiction. ??

We were granular with our approach to find the right answers that resonated with our respondents– by sitting down with a number of dual citizens and asking them what motivated their journey to obtain alternative citizenship, we were able to develop a broad measurement of attitudes. Then we cast the net wider and surveyed over 500 HNWIs so we could quantify the core themes and found there to be five key motivators: Safety and Security, Quality of Life, Economic Opportunity, Global Mobility and Financial Freedom. Interestingly, we excluded some themes such as “reputation” as it only 2,9% of the respondents regarded reputation as the main motivator. ?We analysed the data and based on the statistics we felt that weighting the distribution of the options made the most sense and it was a truer reflection of the HNWIs perspective. ?

The final product is a well-rounded insight into the minds of a global citizen using reliable and relevant sources to construct the index. The final index provides a robust perspective on how to determine the best place to be associated with.?

Q: The methodology of the report is quite unique. Could you explain the reasoning behind this???

ME: As mentioned above, we took a multi-tiered approach to conceive the index so we could provide a more thorough data set. While research methods often tend to favour the selection of empirical, quantitative data to project the value that citizenship holds in granting the attainment of individual aspirations and demands, we decided to rely on the combination of the real experiences of global citizens, the resources made available from reliable authorities, and the extensive knowledge of our trusted network of industry experts.??

We used a holistic approach to concentrate on the factors that global citizens consider when deciding where to live, work and educate themselves and their families and place down secondary roots.?

Despite measuring the performance of every country and seeking to establish one as a winner, the reality is that we hold a greater responsibility as governments, members of civil society and corporations. We need to use the privileges provided by “global citizenship” to create a more inclusive world, grant valuable opportunities for the less fortunate through job creation, find solutions to avert catastrophic climate events, and allocate resources more fairly.?

Q: What are the underlying motivations and concerns experienced by international families and business people seeking to enhance their global mobility???

ME: ?When we first started work on this index, it was a couple of years before the pandemic hit. At that time, safety and security was the top motivator driving people when seeking alternative citizenship. Yes, HNWI’s consider a myriad of factors when deciding something as monumental as where to obtain second citizenship and build a second home but ultimately, it's human nature, regardless of how wealthy one is, to seek security While passport strength is, of course, an important component, it is also one that is subject to the greatest change as evidenced by pandemic related travel restrictions. When considering that citizenship is a lifetime investment, the choice will hinge on an element as critical as safety and security. ?

Q: How can high-net-worth individuals protect their wealth during these tumultuous times??

ME: Aside from analysing the performance of countries, the WCR looks at ways HNWIs protect and grow their wealth. This includes looking at which countries provide a platform that will assist a businessperson to not only grow their wealth but to protect it too. . Diversification of one’s finances is critical - one of the best ways to do this is to establish an alternative hub to set-up new businesses and to protect one’s assets. . Second or alternative citizenship is the bridge to set-up these various platforms.?

One aspect that the report highlights is how citizenship by investment (CBI) is an effective tool for the world’s savvy, to protect their assets by hedging their portfolios by becoming a citizen of another country. Furthermore, CBI offers an alternative and time-effective solution for those who do not have a marriage, descendant or naturalisation attachment to other countries. It ultimately enables applicants to obtain a second citizenship, often within three to four months, without any former ties to the nation, as long as they pass a multi-tiered vetting procedure.?

Q: Why is investing in second citizenship so important???

ME: Being bound to a single country and its government can limit your freedom. With current global uncertainty, travel restrictions, and crises, investors are concerned about future market volatility and the security of their wealth, assets and lifestyle within their home countries. This uncertainty further fuels the desire among wealthy individuals to incorporate second citizenship as part of their portfolio.?

Q: Has CS Global Partners witnessed an increase in interest in CBI????

ME: Citizenship by Investment (CBI) has always been an option for astute investors, however, there has been a sharp increase in interest from individuals who, before the pandemic, thought a Plan B was not essential. We are seeing individuals from so-called superpower nations enquire about second citizenship. We have also seen a large increase in the number of younger investors exploring second citizenship.?

In 2021, we saw a 42 percent increase from previous years in terms of interest from the US, and the number one reason applicants cited was a better life for their families and themselves.?

Q: CS Global Partners is the world’s leading government advisory and marketing firm specialising in CBI solutions, particularly in the Caribbean. How did this region fare in the WCR???

ME: Interestingly, the Caribbean nations that offer CBI rank close together, and are in the top 30 percent of the WCR, scoring high in the Safety and Security, Quality of Life and Global Mobility motivators.??

This reveals two things: the proximity of the rankings shows a strong sense of community and collaboration that characterises Caribbean countries; and a commitment to an inclusive, resilient, and competitive share in the growth of the region.??

Caribbean citizenship offers global citizens access to some of the best travel and economic markets in the world. The pandemic subjected international travel to significant restrictions and made us question whether healthcare systems could adequately manage a global health crisis. As a result, many HNWI’s are focusing more acutely on the importance of issues such as their quality of life, healthcare, safety and security, and financial planning.?

Q: How can those in the immigration investment industry use this report when consulting with a client who is interested in diversifying their portfolio with CBI???

ME:?This report will allow your clients to compare citizenships across the globe while taking into account various aspects that may be important to them. It all depends on the needs of your client, as everyone is different.??

For example, a client who is a national of a country with a volatile economy and wants to grow their business on an international stage may place more importance on countries that are strong in the Financial Freedom motivator. This motivator measures a jurisdiction’s ability to provide a favourable and stable regulatory climate for the performance of businesses, as well as the holding of personal and business assets. Investing in CBI is a way to hedge their investments while diversifying their portfolio.??

A client with a family living in a country that lacks the rule of law, political stability, and has a high crime rate, may be interested in a country’s performance in the Safety and Security motivator. This measures the extent to which second citizenship can offer greater safety and security to the citizen.??