Vistra 2030: How reputation and regulation are redrawing the global incorporations landscape

Our Vistra 2030 report reveals that 68% of business leaders in China, Hong Kong, and Singapore now prioritise a jurisdiction’s reputation over traditional factors, when deciding where to establish operations.

In an environment marked by trade tensions, inflation, rapidly advancing technology and shifting global power dynamics, mid-sized MNCs must quickly adapt to regulatory pressures to avoid costly compliance failures and potential reputational damage.

Navigating a complex regulatory maze

Global compliance initiatives like the FATF anti-money laundering standards, OECD’s BEPS framework and China’s Personal Information Protection Law (PIPL) have raised the bar for transparency but they have also ramped up the cost and complexity involved in compliance.

For mid-sized companies, these burdens are particularly acute: 41% of decision-makers cite Know Your Customer (KYC) and Anti-Money Laundering (AML) compliance as their top challenge in managing overseas entities.

Hailiang Zhang, Vistra’s EVP for North Asia, highlights the struggles mid-sized multinationals face with regulatory clarity: “Businesses want to operate in environments where compliance risks are minimised and regulations are predictable. Unclear or inconsistent rules can lead to costly misunderstandings and reputational damage.”

Reputation drives jurisdiction choices for Asia’s business leaders

Vistra’s recent survey of 250 senior executives shows that Hong Kong and Singapore are the top preferred jurisdictions for Asian firms, followed by the UK and the US. This data aligns with the 2025 Global Financial Centres Index rankings which place New York, London, Hong Kong and Singapore as the world’s leading financial hubs.  
Long-standing international finance centres such as the British Virgin Islands (BVI) saw a decline in popularity. In a similar Vistra report in 2022, 47% of leaders saw the BVI as “important for business”, in Vistra’s 2025 study the number was 27%. The Cayman Islands also saw a drop from 31% in 2022 to 24% in 2025.

While the data paints a picture of decline in traditional offshore financial centres, the reality is more nuanced as Anne Dolan, Vistra EVP of Global Incorporations explains. 

“Traditional OFCs are no longer valued solely for privacy or tax benefits but must demonstrate transparency and good governance to attract and retain business. Many OFCs have significantly improved their compliance regimes in recent years in response to global regulatory initiatives. Those who show resilience in a changing regulatory environment will continue to add value as trusted intermediaries for global business.”

What do mid-sized MNCs need to succeed globally?

In a continually evolving compliance landscape, there are two critical ingredients to international success:

• Transparent, robust regulatory frameworks
  Clear regulations enable faster adaptation to change and audits, build stakeholder trust and provide a competitive edge by opening doors to new markets and investment. Strong compliance fosters organisational integrity and supports sustainable, long-term growth.
• Trusted partners with deep regulatory expertise
  Working with experienced global service providers reduces the mental load of compliance, ensures up-to-date knowledge of evolving laws, and helps avoid costly fines. These partners identify compliance gaps, streamline processes and prepare companies for audits, minimising operational risks and smoothing market entry. Centralising regulatory management frees businesses to focus on core growth and innovation.

The Vistra View: regulation is an opportunity, not a burden

At Vistra, we believe that increased regulation doesn’t have to be a burden. Enhanced regulatory frameworks help to boost investor confidence, reduce the risks of fraud and financial crime and promote sustainable business practices. This increased clarity ultimately supports long-term growth and stability across all global financial centres.

This year, we celebrate 40 years of our Global Incorporations business. At Vistra, we leverage decades of experience, a global footprint and trusted regulatory relationships to help mid-sized MNCs navigate the complexities of international expansion. Our comprehensive services include entity formation, compliance management and ongoing regulatory advisory tailored to your needs.

Ready to expand with confidence?

Contact Vistra’s Global Incorporations team today to learn how we can help you choose the right jurisdiction and turn regulatory complexity into your competitive advantage.

Download the full Vistra 2030 report here