This article will be of interest to those who plan to register an Asia-focused fund in the Cayman Islands or register a company in this jurisdiction.
Why the Caymans?
The Cayman Islands are one of the most sought after international financial centers in the East Asian financial industry. They act as an essential channel for the inflow and outflow of capital not only between East Asian countries but around the world.
Caymans have for a long time been an attractive jurisdiction to register Asia-focused funds. They are also extremely popular for locating listed companies associated with the Hong Kong Stock Exchange.
It is easy to open a company in the Caymans. Entities registered here remain on the top of HKSE and account for nearly half of all listed companies on its mainboard.
For your info
Although the countries of East Asia began cooperation in the monetary sphere at the end of the 20th century, the mechanisms of cooperation created at that time were mainly related to the group of special projects and did not receive significant development. After the Asian crisis, a number of agreements were adopted aimed at further developing financial cooperation between East Asian countries, in the Asian Bond Markets Initiative (ABMI) framework.
The aim of this initiative is to ensure the efficient functioning of financial markets, as well as to prevent further crises. As part of the aforementioned initiative, the ASEAN + 3 Agreement on Multicurrency Bond Issues (AMBIF) was signed, aimed at harmonizing and simplifying the process of issuing bonds in the region. So far, the agreement covers the bond markets of six countries. The rest of the East Asian states will join it as soon as national markets are ready.
What benefits will you get if you register a company in the Cayman Islands:
- fast process of company registration (within just one day);
- no regulatory approval required to register a company in the Cayman Islands;
- no reporting is required for a non-regulated entity;
- the price tag for registration is one of the lowest;
- different organizational forms are possible: LLCs, LLPs, mutual funds, companies with divided assets;
- tax neutrality;
- strict requirements for AML;
- availability of experienced professional consultants advising on Cayman Islands law.
Therefore, it is worth noting that registering an investment fund in the Cayman Islands will be an excellent investment.
Major rating agencies recognize the Caymans as a jurisdiction in high demand among the players of the financial markets.
The above advantages, international cooperation, compliance with international regulatory requirements – all these factors serve as proof that this jurisdiction will remain in high demand for incorporation, and investment activities for a long time to come.
Should you have any questions or would like to establish a fund in the Cayman Islands, our experienced experts are at your service. Please fill out the form below to contact us directly.