Cayman Islands Registered Fund
Registered funds form the bulk of the mutual funds (90%) set up in the Cayman Islands under (Section 4(3) of the Mutual Funds Law.
Key Features
The main features of a registered fund are:
- Minimum subscription US $100,000 (or equivalent currency).
- The fund administrator can be located anywhere and does not require to be licensed or registered.
- The auditor must be a Cayman Islands approved auditor although the audit work does not require to be conducted in the Cayman Islands.
- The investment manager can be located anywhere and is not required to be licensed or registered.
Legal Requirements
Requirements |
Description |
General |
|
|
Company, Unit Trust or Partnership |
|
USD 370 |
|
USD 4,700 |
|
No |
Share capital or equivalent |
|
|
USD 100,000 |
|
None |
Directors |
|
|
2 |
|
Yes |
|
No |
Service Providers Required |
|
|
No |
|
Yes (from anywhere) |
|
Yes (from anywhere) |
|
Yes |
|
No |
Tax Treatment
Tax neutrality: no capital gains, income, profits, corporation or withholding taxes
Duration to Set Up
About 3 months
Distinctive Benefits of Licence
- Minimum subscription US $100,000(or equivalent currency)
- No preapproval required, the registration form (MF1) is simply submitted to CIMA together with the offering document, auditors consent letter, the administrators consent letter – there is no waiting period as the fund can offer its shares for sale on the day it files with CIMA.
- The fund administrator can be located anywhere and does not require to be licensed or registered.
- The auditor must be a Cayman Islands approved auditor although the audit work does not require to be conducted in the Cayman Islands. It is normal for a foreign audit firm to do the actual audit and for the Cayman Islands office to do a signoff. However a Cayman Islands auditor’s consent letter is required for the CIMA registration.
- There is no requirement to have a custodian, prime broker or Cayman Islands resident director.
- The investment manager can be located anywhere and is not required to be licensed or registered.
The Valsen Advantage
- End to end comprehensive service
- Speedy and efficient service
- Expert advice on structuring options
- Dedicated ongoing compliance support
- Extensive network pool of service providers