The Collective Investment Schemes Act 2008 (“CIS Act”) sets out the statutory framework in the Isle of Man for the promotion and regulation of collective investment schemes (“funds”).
Key Features
- Formally authorised – most highly regulated
- Must appoint an IOM Manager
- Must appoint a fiduciary custodian/ trustee
- Must have appropriate arrangements for asset management
- Benefits from an investor compensation scheme
- Can be sold directly to the general public in the IOM and subject to recognition elsewhere, for example: UK, Hong Kong, Australia, Jersey and Guernsey etc
- Can be sold via the other sales routes
Legal Requirements
|
Requirements |
Description |
|
General |
|
|
Company, Limited partnership, Unit trust |
|
No |
|
Share capital or equivalent |
|
|
· Minimum subscription |
None |
|
· Minimum investors |
None |
|
Directors |
|
|
2 |
|
Yes |
|
Yes (if Administrator is not IoM resident) |
|
Service Providers Required |
|
|
Yes |
|
Yes (local) |
|
Yes |
|
Yes |
Tax Treatment
Non-Isle of Man sourced income is free of tax, and there are no withholding taxes, so that non-resident investors will receive income and capital returns without deduction.
Duration to Set Up
2 months
Distinctive Benefits of Licence
- Low tax status
- Political and economic stability
- Proximity to the key markets of Europe
- Cost-effective alternative for the domicile of investment funds
- Has a wide range of fund service providers
- Sophisticated professional and banking infrastructure, the Island offers a solution for all fund promoters
- The Isle of Man has a well-founded reputation as a premier jurisdiction in terms of regulation and achieves a balance between
- Provides a business-friendly environment and, on the other hand, meets international standards of financial supervision
The Valsen Advantage
- End to end comprehensive service
- Speedy and efficient service
- Expert advice on structuring options
- Dedicated ongoing compliance support
- Extensive network pool of service providers