Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 11 MARCH 2022

Flexibility Of Bermuda Fund Structures

Appleby
Appleby
Contributor
Appleby

Appleby

Appleby is a leading offshore law firm. The team of legal specialists advise global public and...

View firm profile
Explore more from Appleby

The Investment Funds Act governs funds in Bermuda. A fund is an arrangement which enables investors in the fund to participate and receive profits or income from the acquisition, holding, management...

BermudaFinance and Banking
Jennifer Eve
Jennifer Eve
Author LinkedIn connections

First published in The Royal Gazette, Legally Speaking, March 2022

Investment managers that register their funds in Bermuda will find a flexible fund regime.

The Investment Funds Act governs funds in Bermuda. A fund is an arrangement which enables investors in the fund to participate and receive profits or income from the acquisition, holding, management or disposal of property of the fund.

Investors do not have day-to-day control over the management of the property although they may have the right to be consulted or to give directions.

To be considered a fund, either the contributions from participants and any income earned are pooled – or the property of the fund is managed as a whole by or on behalf of the operator of the fund.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Navigating BMA’s Proposed AI Guidance Note

The Bermuda Monetary Authority has released a consultation paper on artificial intelligence regulation in financial services, proposing a risk-based framework that extends existing regulatory requirements rather than creating new licensing regimes. Financial institutions now face critical decisions about how to classify AI use cases, implement governance controls, and prepare for heightened scrutiny of generative and agentic AI systems before the October 30 feedback deadline.
BermudaFinance and Banking
Appleby
Appleby
Article

Bermuda Digital Assets - October 2026 Update

The Bermuda Monetary Authority has issued three major regulatory initiatives advancing Bermuda's digital asset framework, covering artificial intelligence governance, asset tokenisation clarity, and stablecoin usage in insurance and investment funds. These developments reflect Bermuda's commitment to maintaining a progressive, risk-based regulatory environment that balances innovation with consumer protection and financial stability.
BermudaFinance and Banking
Carey Olsen
Carey Olsen
Article

BMA Consults On AI Guidance For Bermuda's Financial Services Sector

The Bermuda Monetary Authority has released a consultation paper proposing principles-based guidance on artificial intelligence use in financial services, clarifying how existing regulatory frameworks apply without introducing new AI-specific legislation. The guidance establishes eight core principles and detailed expectations for governance, risk management, and oversight of AI systems, including emerging agentic AI capabilities. Regulated entities must now assess their AI inventories, board oversight arra
BermudaFinance and Banking
Walkers
Walkers
Article

Bermuda Investment Funds: A Practical Guide

Bermuda's investment funds regime provides sponsors with a sophisticated regulatory framework that balances flexibility with investor protection. From registered private funds to authorised retail vehicles, the jurisdiction accommodates diverse strategies through multiple structural options including SACs, ISACs, and traditional partnerships. Understanding the classification system, ongoing compliance requirements, and the interplay between fund regulation and investment business licensing is essential for
BermudaFinance and Banking
Carey Olsen
Carey Olsen
Article

Late-stage Liquidity And The Bermuda Fund Toolkit

Bermuda's private equity funds face mounting pressure as net asset values concentrate in fewer, larger portfolios while traditional exit routes remain constrained. With merger and acquisition markets uncertain and distribution droughts complicating fundraising, sponsors must navigate continuation vehicles and NAV financing as alternative liquidity solutions, each carrying distinct structural complexities and contractual implications under Bermuda's flexible partnership framework.
BermudaFinance and Banking
Appleby
Appleby
Article

BMA Sets Out Phased Path To A Bermuda Insurance Resolution Regime

The Bermuda Monetary Authority has published a consultation paper outlining the first phase of a resolution regime for the commercial insurance sector, designed to align with international standards. The framework establishes the BMA as the Resolution Authority with five core objectives and defines which insurers will fall within scope. This phased approach raises important questions about governance, recovery planning, and the practical implications for domestic insurers and Internationally Active Insuranc
BermudaInsurance
Appleby
Appleby
Article

The Long Game: How Bermuda Became The World’s Life Reinsurance Capital

Bermuda has emerged as the dominant global hub for life and annuity reinsurance, now holding over $900 billion in US life and annuity liabilities and accounting for 84% of all US reserves ceded offshore. This analysis examines how the island's sophisticated regulatory framework, purpose-built infrastructure, and commercially engaged regulator have created a structural advantage that extends beyond its traditional catastrophe reinsurance roots into long-dated life business from the US, UK, and Asia.
BermudaInsurance
Appleby
Appleby