As a Cayman fully licensed fund administrator, we provide services to onshore – and offshore funds. TFA supports funds in onshore and offshore jurisdictions. Jurisdictions of choice for the funds administered by TFA seem to be the US, Cayman or the British Virgin Islands (BVI). Lately, we have also observed a trend for private equity investors who want to access Africa to set up in Mauritius and create a Cayman feeder. Moreover, there are others who like to set up in the Marshall Islands.
For the last twelve years, the majority of funds served by TFA were established in either Cayman, BVI or the US (Delaware). Being fully licensed under the Cayman Islands Monetary Authority (CIMA) as Mutual Fund Administrator, the company has extensive experience with the jurisdiction from the inception of a fund to its voluntary liquidation, if necessary.
Cayman and BVI funds can either be formed as partnerships or exempt corporations. Multiple share classes are supported in both jurisdictions. US funds typically show up as limited partnerships or limited liability companies. While the BVI has a slightly lower fee structure for registered funds over Cayman, setup times for registration typically take longer and the case law is not as extensive as the one in the Cayman Islands. The Cayman Islands is now the world’s fifth largest financial center. More than 100 international banks have a physical presence on the Islands, including more than 40 of the world’s top 50 banks. The Islands are also the worldwide market leader for offshore mutual funds, with over 8,500 registered funds.