Understanding the basics of fund regulation
It is important to understand that there may be a number of
jurisdictions involved when setting up a new fund, each with their
own regulatory regime. A fund may be established in a different
jurisdiction to its manager, perhaps because of a better suited
regulatory or tax regime, and whilst economic substance
requirements recently enacted in a number of Appleby jurisdictions
do not directly affect funds, they are likely to influence choice
of domicile for fund managers. It is also essential to consider the
location of potential investors, as many jurisdictions have rules
relating to the offering of interests in a fund to people in that
jurisdiction.
