Licensing And Regulation

Cayman Management has been working with professional advisors in the establishment of Funds for many years. Not all mutual funds are regulated and a fund need not register if it satisfies certain restrictions under Section 4(4) of the Funds Law.

For detailed consideration of the regulatory requirements see Cayman Islands Monetary Authority (www.cimoney.com.ky) or for a general discussion as to what is required Contact us.

In the event that the Fund must register under the Mutual Funds Law Cayman Management is familiar with the procedures which, simply put, are as follows:

Submission of the appropriate application form for:

  • A registered fund – MF1
  • An administered fund – MF2/MF2A
  • A licensed fund – MF3
  • A master fund – MF4
  • and delivery of a number of fund documents.

All of these formalities will be attended to by Cayman Management and the application process can take as little as one or two working days.

There are various continuing obligations in relation to regulated Funds, which include the requirement to submit a Fund Annual Return (FAR), file current offering documents with CIMA and file accounts audited by an auditor approved by CIMA within 6 months of its financial year end.

Consideration must also be given to the effect of the Securities Investment Business Law on the operation of a Fund and its respective service providers and it’s impact on the operation of Investment Managers and Investment Advisors in and from the Cayman Islands.

The ongoing monitoring of a registered Fund to ensure compliance with the regulations is the responsibility of the Fund Directors and Cayman Management and its Independent Directors take that role very seriously. As the holder of a Company Management License the firm’s continued business existence is dependent on the careful exercise of its obligations under local regulations.