Cayman fund registration laws - 7 August deadline approaching
A transitional period during which certain Cayman funds do not need to register with CIMA is about to come to an end on 7 August 2020.
What’s the background?
As we have previously flagged, recent changes to Cayman law mean that
- funds, which were previously exempted under the Mutual Funds Law (Section 4(4) Funds); and
- certain closed-ended fund vehicles (Private Funds)
are now required to register with CIMA.
What’s changing?
The rules, though, allowed a six month transition period for
- Section4(4) Funds and Private Funds which already existed on 7 February 2020; and
- new Private Funds that receive capital contributions between 7 February 2020 and the end of the transition period.
This transition period ends on 7 August 2020.
What does this mean for me?
Affected funds must make sure that they have registered with CIMA ahead of this deadline or be in breach of the new rules.
It should also be noted that no registration fees will apply to Private Funds that register on or before 7 August 2020 (although annual fees will be payable from 1 January 2021).
For details of the changes, and which funds they affect, see our article here.
