Case Studies
BENEFITS OF TAX RECOVERY
- Taxable investors who recover over-withheld tax can boost ROI by 30 basis points per year
- Tax-Exempt investors annually realize 50+ additional basis points of risk-free performance
CASE STUDIES
Hedge Fund Client A
Client Profile
- Assets Under Management: $100 Billion+
- GlobeTax Client Since: 2010
- Fund Structure: Master-Feeder Funds, LLCs, Partnerships, and more
- Investment Strategy: Multiple; Fundamental and Technology-Driven, Quantitative approaches
Challenge
- Due to the high trading volume, investment principles could not manage monitoring tax recovery opportunities across dozens of funds with different structures and investors
- Reconciling among multiple prime brokers/custodial arrangements added additional complexity to the reclaim process
Solution
- GlobeTax services 90 client accounts across multiple service providers
- We have filed nearly 18,000 reclaims to recover $46 million in tax entitlements
- The client has seen a significant benefit in Switzerland, South Korea, Canada, Japan, Sweden, Germany, Finland, Italy, and more
Hedge Fund Client B
Client Profile
- Assets Under Management: Nearly $50 Billion
- GlobeTax Client Since: 2012
- Fund Structure: Partnership
- Strategy: Long-Short with Concentrated Positions
Challenge
- Due to substantial position size, the fund enjoyed many claim opportunities
- The client leveraged 6 brokers and custodians, making reconciliation difficult
Solution
- GlobeTax services 18 accounts
- Has filed more than 1,350 claims to recover over $20 million
- The client realized tremendous benefit in Canada, Ireland, Switzerland, and the Netherlands
- Helped client comfortably outperform the S&P 500 Index for over a decade
CASE STUDIES
Client Profile
- U.S. Institutional Wealth Management Business
- Top 5 global wealth manager by assets
- Assets Under Management: $350+ Billion
- Financial Advisors: 1,800
Challenge
- The client was only providing Relief at Source in 3 markets to a portion of their client base
- The client struggled to produce and renew the documents needed to provide Relief at Source and Standard Reclaim in all possible markets for millions of investor accounts
Solution
- GlobeTax provided an enterprise-level Relief at Source, Quick Refund, and Standard Reclaim solution to secure client tax entitlements in 40+ markets
- GlobeTax and the client established an organization-wide feed to send daily and monthly data. Worked with client’s third-party platform provider to automate sending data
- GlobeTax produced pre-populated document packages and secured investor Certificates of Residency
- Since 2020, GlobeTax recovered $116 million for 80,000+ account holders
- Client expanded assets under management, enjoyed a new revenue stream, created a tax center of excellence, and reduced risk due to automated data transfer and processing