Bermuda’s new funds regime receiving international recognition
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Jeremy’s practice focuses on corporate finance, mergers and acquisitions, corporate reorganisations and restructurings, banking and international real estate finance, structured finance, as well as regulatory and legislative compliance.
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There was further recent evidence that Bermuda’s revolutionary approach to updating its funds regime has attracted a great deal of interest and support from those working in this business sector. Invaluable feedback received from New York decision makers in round table meetings in May 2013 prompted the collaborative efforts of the Bermuda Monetary Authority (BMA), Government of Bermuda, Bermuda Business Development Agency (BDA) and key members of Bermuda’s funds community to amend Bermuda’s fund legislation, thereby making Bermuda a more competitive and desirable jurisdiction for funds. The changes, driven by this vital input from the US funds industry, led to the launch of two new user-friendly, exempt fund classes which can be registered and launched on a fast-track basis using the BMA’s online system (ERICA).
Jack Rigney, of Manhattan-based Seward & Kissel, sang the praises of the Island, stating that Bermuda may now be the best jurisdiction in which to set up an offshore fund. Mr Rigley said: “I personally witnessed how Bermuda has dramatically delivered on the promises they made last year …, which is a very good thing for everyone in the industry. … We just finished probably the easiest and most pleasant fund experience that I have had in the last few years with the recent Bermuda fund that we did. It was done on a very timely basis and we felt we had high quality service throughout.”
He added: “My personal advice to clients now is that Bermuda may in fact be the best jurisdiction for offshore funds when you consider cost benefits, the practical regulations, as well as access to officials which I do not think should be underestimated, I know that has been very valuable to us.”
The BMA has been specifically cited for helping to reinvigorate Bermuda’s asset management industry and its understanding of the need for certainty, speed to market and fit for purpose regulation.
BDA CEO Ross Webber said: “The success we are seeing in Bermuda’s funds industry is a great example of the good work that can happen through strategic and collaborative action.
“Generating a greater volume of asset management business and attracting fund managers to the Island will provide work for Bermudians and a well appreciated boost to our economy,” Mr Webber added.
The reasons Bermuda is an attractive funds jurisdiction include the existence of a world class financial services regulator, the BMA; a fully electronic, internationally recognised stock exchange that has been used by over 300 asset management related issuers, the Bermuda Stock Exchange (BSX); and an extensive network of service professionals with deep experience in funds and private equity with a long history of working together.