Cayman and BVI financial services regulators have announced Memoranda of Understanding (MOU) with 25 European countries which will enable the continued marketing of Cayman Islands and BVI funds throughout the majority of European Union.
The MOUs relate to the Alternative Investment Funds Management Directive (AIFMD) which is to be implemented across Europe from 22 July 2013.
The AIFMD requires that certain conditions be met before non-EU countries can market alternative investment funds within the EU, including the signing of MOUs by the non-EU regulators with the regulators of EU member states.
The Managing Director of the Cayman Islands Monetary Authority Cindy Scotland expressed satisfaction that CIMA has now been able to sign the 25 MOUs and said, “Given the importance of Europe as a market for Cayman hedge funds, we have contacted the five European countries which have not yet signed with a view to securing signed MOUs.” The remaining countries are Austria, Germany, Italy, Slovenia and Spain.
In its announcement the BVI Financial Services Commission stated: "The BVI FSC is pleased to have executed these agreements which demonstrate the recognition and importance of BVI funds in the global funds industry."
CIMA’s press release can be viewed here along with the list of countries which have signed MOUs. The BVI Financial Services Commission's press release can be viewed here.