Cayman Funds Quarterly Legal And Regulatory Update Q3

1.  The Anti-Money Laundering Regulations, 2017

1.1  The third quarter of 2017 has seen a further strengthening of the Cayman Islands' regulatory framework to maintain the jurisdiction's adherence to international standards and the recommendations of the Financial Action Task Force (FATF).  The FATF sets the global standard for legal, regulatory and operational measures against money laundering, terrorist financing and the proliferation of weapons of mass destruction – collectively and commonly referred to as AML/CFT.  The Cayman Islands will undergo a FATF evaluation in December 2017.

1.2  The Anti-Money Laundering Regulations, 2017 (AML Regulations) came into force on 2 October 2017 repealing The Money Laundering Regulations (2015 Revision).  The AML Regulations have expanded the scope of the previous regulations in line with the FATF recommendations.  Specifically and significantly the definition of activities covered by the AML Regulations, being 'relevant