Aima urges regulators to grant AIFMD passport to Cayman

Cayman IslandsA major hedge fund body has supported Cayman Islands in its bid to gain the European marketing passport for offshore hedge funds, which European regulators have already approved for Guernsey, Jersey and Switzerland. The Alternative Investment Management Association (Aima) says Cayman, a major offshore centre for hedge funds, is well-placed to get a successful review and be granted the passport by the European Securities and Markets Authority (Esma). Esma did not include Cayman in its first review of whether to grant the passport to non-EU domiciles under the Alternative Investment Fund Managers Directive (AIFMD). Alan Milgate, chairman of Aima Cayman, says: “Esma’s decision should not be misinterpreted. Cayman has simply not yet been assessed, and has certainly not been adversely opined on, or excluded by Esma.” Aima says Cayman has already entered into the requisite co-operation arrangements with the major EU investment securities regulators and enacted the necessary tax information exchange agreements with EU governments as required by the AIFMD. The Cayman Islands government has been developing an AIFMD compliant opt-in regime so that alternative funds based their could meet the EU standards for offshore funds. AIMA says it is in the interests of institutional investors in Europe and hedge fund managers globally that Cayman be granted the passport. Jack Inglis, chief executive of Aima, says: “The global industry as a whole needs Cayman AIFs [alternative investment funds] to be approved under the AIFMD passport to ensure that pension funds and other European institutional investors can continue to benefit from investing in some of the world’s leading alternative investment funds.” He says the new Cayman regime “looks similar to those in the jurisdictions that have already obtained favourable assessments”. ©2015 funds europe

Executive Interviews

INTERVIEW: Put your money where your mouth is

Jun 10, 2016

At Kempen Capital Management, they believe portfolio managers should invest in their own funds. David Stevenson talks to Lars Dijkstra, CIO of the €42 billion manager.

EXECUTIVE INTERVIEW: ‘Volatility is the name of the game’

May 13, 2016

Axa Investment Managers chief executive officer, Andrea Rossi, talks to David Stevenson about bringing all his firm’s subsidiaries under one name and the opportunities that a difficult market...


ROUNDTABLE: Beyond the hype

Oct 13, 2016

The use of smart beta investing continues to grow. Our panel, made up of both providers and users, discusses what the strategy actually means, how it should be used and the kind of pitfalls that may arise when using this innovative investment technique.

MIFID II ROUNDTABLE: Following the direction of travel

Sep 07, 2016

Fund management firms Aberdeen and HSBC Global meet with specialist providers to speak about how the industry is evolving towards MiFID II.