SAN DIEGO– Today, Ethos Asset Management Inc., USA announced the formation of Ethos Commercial Consultancy JSC (ECC) in Istanbul, Turkey, a recent creation and addition to the Ethos Group. The company was incorporated on May 25th, 2021, by the President and CEO of Ethos Asset Management Inc., USA, Carlos Santos, in Istanbul with the support of Attributed Holdings International LLC.
This new operation and physical presence will enable Ethos to overcome some of the challenges in receiving financial guarantees and other financial instruments into its USA banks from various global jurisdictions. The Ethos team is relying on the fact that Turkey has a very well-developed modern banking system that will allow Ethos to conduct its ongoing day-to-day worldwide financing activities and to penetrate new markets by providing much-needed investment in local businesses, corporations, governments, and community-based organisations.
The company considers this move to be a significant development in the continued growth and expansion of the Ethos group. The move will go far to address the cross-border banking and finance laws which are tightening globally. This new local presence in Turkey is designed to support Ethos’ transactions and increase operations each day with South America (with the main focus in Brazil), Middle East, Africa, Asia, and the Far East jurisdictions.
Carlos Santos, President, and CEO of Ethos, stated, “We were very excited and motivated to establish a subsidiary of Ethos in Turkey. This will provide new Turkish and international clients and potential partners in the region with the opportunity to be financed by Ethos dynamically, efficiently, and personally. Recent changes to cross-border laws and the continuing crisis of Covid have significantly affected the banking system. Several banks in the United States, where Ethos conducts primary operations, closed their international trade desks to protect their potential exposure to the default of other institutions and reduce overall risk to the sector, and some bankers believe that this internal policy reduces general systemic risk.”
Banks that Ethos conducts business with in the USA ceased to cooperate with banks in Europe, South America, Asia, and Africa causing more complex operations. As such, it became imperative for the company to establish operations elsewhere. Turkey is fundamental in this substitution for the foreseeable future to protect Ethos’ operations until the worldwide economy stabilises. Ethos, therefore, considers investing in Turkey, its people and communities as a primary strategic goal to create new long-term partnerships in the region.
Meryem Ipeklioglu, Attorney at IDG Legal, in Istanbul, said, “Turkey is in a group of emerging markets and is clearly one of the best in terms of banking systems. The banking system in Turkey entered into collapse in 2002. At that time, the Government created one of the best systems in the world to control all of the bankrupt institutions, aiding in the recovery of banks. To this day, the 23 banks that received assistance are more stable than the average of all banks in Portugal, Spain, France, and Italy. Turkey’s banks have an extensive list of Relationship Management Applications (RMA) with banks in countries all over the world. To have this opportunity to support Ethos and be a partner in their visionary movement that will impact Turkey’s economy in a unique way is an honour.”
Elvan İnanlı, CPA, Partner at Crowe Troy, Istanbul, said, “Ethos regards Turkey as a central hub for international trade and commerce because of our history with more than 8000 years of experience in this field. The issuing of a Stand By Letter of Credit (SBLC) or any other financial instrument is part of any international trading or commerce transaction. I understand that Ethos sees Turkey and particularly its banks as the right financial partners to develop their business and to deposit their guarantees.”