Offshore Funds

Hub

Offshore funds

The Offshore Funds hub is dedicated to demystifying offshore investment funds: why investment managers use them and how they work. We also write about the latest offshore funds news from the BVI, Cayman, Cyprus, and Luxembourg. It's written by lawyers, but we try to keep it interesting anyway.

Contributors

Philip Graham
Philip Graham
  • Philip Graham

  • Partner
  • British Virgin Islands
Lewis Chong
Lewis Chong
  • Lewis Chong

  • Partner
  • Cayman Islands
Vanessa Molloy
Vanessa Molloy
  • Vanessa Molloy

  • Partner
  • Luxembourg
George Weston
George Weston
  • George Weston

  • Partner
  • British Virgin Islands

Funds market in China: divergence in an age of convergence

The market for US dollar (USD)-denominated funds in Greater China has undergone rapid transformation. Professional services providers have been grappling with the impact of a flurry of new laws and regulations, while fund managers have suddenly found themselves overwhelmed by choice. This has led some to question whether market convergence has finally led to the creation of a level playing field for all jurisdictions, or whether in fact this is the beginning of widespread divergence in the fund market industry.

Philip Graham

What types of funds are regulated in Cayman and the BVI?

For many managers, having a fund which is regulated and subject to overreaching powers of a regulator (whether the British Virgin Islands Financial Services Commission or The Cayman Islands Monetary Authority) can be advantageous or essential when attracting investors. On the other hand, a manager seeking to establish a track record whose investors comprise only friends and family, may see advantages in having an unregulated fund, without any of the ongoing obligations that would apply if it were regulated. Whichever camp you fall into, you will want to know how to structure your fund to ensure the appropriate level of regulation for your purposes.

Philip Graham