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ARTICLE · 21 JANUARY 2019

Amendments To Bermuda Investment Funds Act 2006

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Bermuda recently passed two pieces of legislation which will result in changes to the Investment Funds Act 2006 (Funds Act).

BermudaFinance and Banking
Matthew Ebbs-Brewer
Matthew Ebbs-Brewer
Timothy Faries
Timothy Faries
Jennifer Eve
Jennifer Eve
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Bermuda recently passed two pieces of legislation which will result in changes to the Investment Funds Act 2006 (Funds Act). These are the Economic Substance Act 2018 (Substance Act) and the Investment Funds Amendment Act 2018 (Funds Amendment Act).

Substance Act – Changes Regarding Private Funds and Exempted Funds

The Substance Act, which became operative on 31 December 2018, amends the Funds Act in order to bring the regulatory regime of Bermuda’s investment fund industry in line with international standards and create consistency with other regulatory regimes in Bermuda.  

The Funds Act is amended in the following ways:

  • Reference to Excluded Funds in relation to Private Funds (i.e. funds for fewer than 20 investors) has been removed meaning that the term Excluded Funds can no longer be used interchangeably with that of Private Funds.

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