A Quick Guide: How To Choose Your Fund’s Jurisdiction

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When establishing your own investment fund, one of the major areas you’ll need to think about is jurisdiction.

Choosing a territory for your fund is an important decision. Understandably, many prospective fund managers spend a significant amount of time thinking about it.

But the purpose of this article is to make things simple.

In most cases, the best jurisdiction in which to establish an investment fund is the Cayman Islands. This territory attracts approximately 80% of all new offshore funds – and enjoys a reputation as the world’s leading domicile for professional investment funds.

The jurisdiction also houses more than 75% of the world’s offshore hedge funds – and nearly half of the industry’s estimated US$1.1 trillion of assets under management.

Because of its popularity – the Cayman Islands is also a recognised territory by professional and institutional investors, along with the financial counterparties such as banks, brokers and auditors.

How to get started

We offer our clients a low cost and all-inclusive fund solution via our Cayman Islands Fund Platform: the IFINA SPC.

IFINA SPC is a Cayman Islands Segregated Portfolio Company (SPC) – and for less than USD 10,000, we can provide a legally segregated portfolio (sub-fund) which provides you with your own named professional investment fund.

This formation includes a fund prospectus, ISIN and Bloomberg codes, establishment of bank and broker accounts. It’s a totally all-inclusive cost.

The IFINA SPC is regulated by the Cayman Islands Monetary Authority (CIMA). It has proven to be extremely popular with start-up FX managers keen to enter the regulated and audited fund arena for the first time.

Do you want to create your own Investment Fund?

If you want to create your own Investment Fund, just email me. I’d be happy to talk you through how it works in further detail. Thanks for reading – I’ll be in touch next week with some more content.