Living and working in Sydney

Sydney conjures images of sun, surf and the famous Harbour Bridge and Opera House. But it is also home to a vibrant financial centre.

Australia's financial industry has become concentrated there and several international firms have chosen it as their Asia Pacific base. Tokyo, Singapore and Hong Kong are all in the same time zone, while the cultural affinities with the UK and the US mean that London and New York are never far away - at least in the minds of business people.

But while it is serious about business, Sydney takes its parties and outdoor lifestyle seriously too.

From the Gay and Lesbian Mardi Gras held every March, to the outdoor Tropfest film festival and one-off celebrations like the 2000 Olympics, Sydney has developed the big public party to perhaps its ultimate form. Fireworks are a regular feature of the night-time harbour skyline.

The city has also become increasingly multicultural. It boasts one of the world's most vibrant Chinatowns as well as centres for the cultures of Italy, Greece, Vietnam, Portugal, Spain and Turkey.

Lifestyle

Moderate winters and warm summers allow swimmers to take to the city's harbour and ocean beaches all year round. For surfing enthusiasts the harbour offers waves for beginners and experts, while Sydney is also a sailor's dream.

There is even a famous club of dedicated swimmers - the Bondi Icebergs - who take a dip at Bondi at sunrise every day of the year.

The city's financial district, called CBD, is centred around Bridge Street on the eastern side of the bridge. Nearby are popular residential areas such as Surry Hills, Paddington, and Darlinghurst, built around Oxford Street.

Here, two- and three-bedroom terrace houses can be rented for around A$2,500-A$3,000 a

month. Apartments - of which there is a glut after a recent building boom - rent for considerably less.

Although Oxford Street has a reputation as a gay area and hosts the annual Mardi Gras parade, it welcomes people of all persuasions to its many restaurants, bars and nightclubs.

Oxford Street also puts you on the road towards Bondi, perhaps three miles away, where young people from all over the world gravitate to the famous beach.

Not only is Bondi a great place for swimming and surfing, but the nightlife is excellent too.

While many young singles and couples prefer to live on the city's eastern side, the North Shore - as it is known - is preferred by many families, who like the space of the larger houses north of the bridge.

Although North Sydney is a business centre in its own right it tends to be home to more telecoms and computer companies than those from the finance sector.

The suburb of Mosman, on the north side of the harbour with an excellent view of the Opera House, has become a North Shore centre for the families of expatriates in recent years. But rents here can be high by Australian standards (about A$6,000 a month for a family house).

From there, people working in the financial district can commute to their office by ferry, across one of the world's most famous harbours.

Much of the financial sector activity is centred around the Australian Stock Exchange (ASX) building in Bridge Street, while the Sydney Futures Exchange is only a couple of minutes walk away.

Most of the banks and broking and investment houses have their offices near the ASX.

Sydney's CBD was for many years criticised as being soulless, and a place where nothing happened after the workers went home. That has changed in recent years, partly as a result of the preparations to host the Olympics in 2000.

Now, the CBD teems with restaurants and bars, and outdoor establishments on the plaza at Australia Square, just down from the ASX, are packed.

Corporate culture

Australian corporate culture is hardworking but casual, with none of the elaborate hierarchy and manners of a country such as Japan.

Perhaps as a result of contact with Asia, the exchange of business cards has become more common, but apart from that Australian corporate culture remains unaffected.

People are judged on how they perform and

how they get on with their colleagues, not on their adherence to a code of etiquette.

The bad news for people wanting to spend a stint in Sydney is that some of the international finance houses based here have been cutting back on their expatriate staff in recent years, preferring locals instead.

CS First Boston, CIBC, Merrill Lynch and HSBC have all reduced their broking operations, though other big global names are still well represented.

JP Morgan, which took over the well established local broker Ord Minnett, has a big presence, as has Salomon Smith Barney, UBS and Deutsche Bank.

Although a recent arrival, TD Waterhouse has made big inroads into the online broking business and has become a major player.

Also making Sydney less attractive for foreign expatriates is the Australian tax regime, which is often cited by business lobby groups such as the Business Council of Australia as a major impediment to luring foreign talent.

Non-residents earning more than A$60,000 a year - a very average wage - are taxed at 47% of their income, while foreigners can also be taxed on offshore capital gains if they stay in Australia for five years or more.

There are some signs, however, that the government is relenting. Under a new proposal, Australia will not tax foreign executives on temporary visas of up to four years on capital gains from the sale of offshore assets, or any foreign earnings.

A new tax treaty with the US will also help Americans who have been hit by a double whammy of US and Australian taxes.

Former BHP Billiton chief Paul Andersen, for example, made A$1.1m in June last year from selling BHP shares and told the ASX the proceeds would go to pay his US taxes.

Such tax breaks should make Sydney an even more attractive destination for an overseas posting.