US - Bermuda: Young Professionals' Paradise... [2008-07-09 Forbes]

http://www.forbes.com/home/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709bermuda.html

Bermuda: Young Professionals' Paradise

Matt Woolsey, 07.09.08, 5:00 PM ET

Aspiring financiers looking to excel might move to New York City < http://www.forbes.com/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709youngprofessionals_slide_38.html?thisspeed=30000 >, in the same way that tech-savvy entrepreneurs or risk-loving venture capitalists might head to Silicon Valley < http://www.forbes.com/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709youngprofessionals_slide_41.html?thisspeed=30000 >. Geologic engineers move to Houston for the oil business; those who have a taste for calls and puts on commodities relocate to Chicago < http://www.forbes.com/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709youngprofessionals_slide_35.html?thisspeed=30000 >.

But if young professionals really want to find a place to mix business and pleasure, they should consider the tax-friendly islands of Bermuda, which lie to the east of Cape Hatteras, N.C.

That's because if Bermuda were a U.S. city as opposed to a British territory, it would have challenged the list's top cities by finishing at the top of several of our metrics.

Of course, if Bermuda had joined the U.S., it's unlikely the small island nation would have its tax haven status; it levies no income tax. This allows its economy to thrive by attracting international investment groups, resulting in its citizens possessing the world's highest per-capita income.

By our measures, it has the highest concentration of Forbes' 400 best big companies and 200 best small companies, as judged by revenue, corporate practices, and long- and short-term sales and earnings growth, as well as stock market performance. In fact, Bermuda has one top-rated company for every 11,000 citizens. The best concentration stateside? Minneapolis < http://www.forbes.com/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709youngprofessionals_slide_37.html?thisspeed=30000 >, which has one top company for every 130,000 people.

The number of elite graduates per capita isn't too shabby either, and Bermuda would have just made it into the top 10 by that regard. Salaries are high enough, and taxes low enough, that well-paid jobs leave their earners more than comfortable.

Of course, this argument is disingenuous. Many companies that operate out of Bermuda are little more than a small office to facilitate off-shore finance and to protect assets from tax-happy governments. Bermuda's status as the richest nation per capita may be statistically true, but it's because there are only 66,000 people there and heaps of multinational companies, which operate out of Bermuda on paper only.

To emigrate, or own property, requires connections and fees that make even the richest wince. The six companies on our list that call Bermuda home employ very few people in Bermuda itself, with most of those employees being extremely senior. Because of this, it's not a place with a great deal of opportunities to rise up through the ranks to the C-suite, even though it is, on paper, a great place to begin a professional career.

The lesson: Always beware of small sample sizes.

-

In Depth: Best Cities For Young Professionals
http://www.forbes.com/2008/07/09/cities-professionals-young-forbeslife-cx_mw_0709youngprofessionals_slide_2.html?thisspeed=30000

--

© 2008 Forbes.com LLC™