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Some Businesses Use a Hybrid Structure to Take Advantage of Regulatory

Question 9

Multiple Choice

Some businesses use a hybrid structure to take advantage of regulatory arbitrage. What is regulatory arbitrage:


A) Quarantining assets in different markets
B) Consolidating control using trusts and subsidiaries
C) Transferring funds between subsidiaries to minimise tax
D) Using a hybrid structure to meet regulatory requirements in the local market
E) Taking advantage of cost differences arising from different regulations that apply in different markets.

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