The benefits and uses of Bermuda segregated accounts companies (SACs) to ring-fence assets and liabilities in insurance and investment fund structures are well-known and well-tested. The Bermuda Supreme Court has consistently upheld confidence in, and strength of the statutory segregation and ring-fencing of assets and liabilities in a SAC.
The European Securities and Markets Authority (ESMA) published on 19 July 2016 its final advice to the European Commission (the Commission) on the extension of the marketing passport under the Alternative Investment Fund Managers Directive (AIFMD) to 12 non-EEA countries, including the United States. This note is intended to highlight ESMA’s advice to the Commission and set out the steps firms would need to consider when applying for a third country passport.
Bermuda may not be the first place one thinks of for offshore investment funds, but it ought to be.
Bermuda’s global pre-eminence in the reinsurance industry is undisputed - it is currently home to 1,291 insurance companies which generated a gross premium of US$107.7 billion as at the end of 2011. Recent figures show that Bermuda is the pioneer offshore hedge funds jurisdiction. In fact, Bermuda’s registered funds have increased from US$159.51 billion of total net asset value2 in 2011 to US$185.39 billion in Q3 of 20123.
Bermuda’s tax neutrality and favourable yet robust regulations make it an ideal location for Islamic finance investment. Cheryl Packwood and Belaid A Jheengoor explore the advantages of the jurisdiction.
Recent industry statistics show increased interest from alternative investment managers in basing their funds in onshore-regulated jurisdictions and as a result of this trend, Ireland recently overtook both Bermuda and the BVI as a domicile for hedge funds for the first time.