[ad_1]
[Boston, 24 de Reuters]- There is a widespread movement in the American financial industry to move its base from New York to Florida. New York, a global financial center, has become less attractive as most of its stores and facilities have been closed due to the outbreak of the new corona virus. On the other hand, in the financial industry, which started working from home in March, the weather is warm enough to be called the “Sunshine State,” taxes are low, affordable real estate is available, and if needed, you can easily return to New York by air. It has become more popular.
According to Kelly Smallridge of the Palm Beach County Economic Development Commission in Florida, about 30 major finance companies have been consulting to establish a base in Florida, some of which are seriously considering relocation. That is to say.
Elliott Management, Citadel, Maurice and others have recently announced plans to establish satellite offices in Florida and have allowed employees to relocate to Florida, according to several finance industry executives. Goldman Sachs is also considering moving some of its asset management employees to Florida, according to people familiar with the matter.
Until now, executives in the US financial industry have refused to establish a base in Florida due to concerns about education, culture and opportunities for human interaction.
However, while working from home and the introduction of online learning have eliminated most of these concerns, most facilities in New York, such as restaurants, museums and art galleries, remain closed due to the crown measures.
That’s why Florida’s laid-back lifestyle and corporate practices make it more attractive, according to people in the financial industry, such as bankers.
This trend is happening outside of Florida, with major finance companies moving their employees from expensive cities like New York and San Francisco to lower-cost states like Ohio, Tennessee and Utah.
For many New Yorkers, Florida is closer culturally and physically than any other state, according to people familiar with the matter. There is no time lag and there are more immigrants from New York than from Salt Lake, Utah and Nashville, Tennessee.
The restaurant is outdoors all year round and there is no state income tax. Housing is generally cheap, and commercial rental properties like Palm Beach County rent about half as much as in Manhattan.
“I love this place and I’m trying to get some friends to move here,” said Kevin Cooper, senior vice president of Wealth Spire Advisor, who moved to Florida six months ago. “People can live their way here,” he says.
If you can’t work in a skyscraper in Manhattan or enjoy movies, concerts, or eat at a restaurant, Cooper and many other executives in the financial industry think it’s better to be closer to Florida’s beaches.
Florida Governor Desantis prioritizes the state economy over strict measures from the crown. By declaring a resumption of the economy in September, he prohibited local governments from limiting the capacity of restaurants. Florida is one of 13 states in the country that does not require the use of masks.
According to Reuters, the number of patients hospitalized with the new Corona infection in Florida ranged from 5,634 to 23, an increase of 32% from the first. This is the fifth highest level in the country after California, Texas, New York and Pennsylvania.
Advocates for Governor DeSantis argue that the governor’s policies protect jobs and support businesses in the state.
Finance industry executives like Cooper are serious about the new corona epidemic, but say individual choices must be allowed when it comes to wearing masks and eating out.
Hedge fund Elliott Management has announced plans to open an office in West Palm Beach next year. Jonathan Pollock, Co-CEO, is working in Florida after the Corona epidemic.
The hedge fund Citadel is expected to open an office in Miami next year. Florida founder Ken Griffin has moved some of his Citadel Securities traders from New York and Chicago to a Palm Beach hotel on a trial basis.
Blackstone Group also plans to open an office near Miami with hundreds of technical employees in the back office department.
Goldman Sachs’ asset management department is considering South Florida, according to people familiar with the matter. A spokeswoman said she had no specific plans to announce, but was considering placing more employees in “high-value” locations across the country.
The Bank of Germany and JP Morgan Chase have long-standing offices in Jacksonville, Florida, and many hedge funds have been established near Miami and Palm Beach over many years.
Maurice has no plans to open a base in Florida, but CEO Ken Maurice said on a television show that he would be happy to take his job in Florida if he wanted to be a good performer.
“The company realized that it was not necessary to be based in Midtown, Manhattan, and the employees were fine,” said Alan Johnson, director of consulting firm Johnson Associates.
(Reporter for Svea Herbst-Bayliss)
* Please refer to the related information such as the original article in the “Related Content” menu on the right side of the screen.
