Redomiciliation of Investment Funds to Malta

The benefits of redomiciling funds to Malta range from regulation to the local expertise in the fund industry. In the below list one can identify further strong points which make Malta the ideal fund domicile:

·    Legislation - Companies Act, Continuation of Companies Regulations 2002

·    Regulation allows for inward and outward continuation of Companies

·    Tried and tested legislation with redomiciliation of companies from over 18 countries

·    Redomiciliations have been effected for holding company structures, property entities and others dealing financial securities (including Collective Investment Schemes)

·    Typical domiciles wherefrom investment funds redomiciled to Malta:

BVI, Bahamas, Channel Islands, Cayman, Liechtenstein

·    BOV Fund Services handled and assisted redomicilation of funds from BVI, Cayman and Guernsey (Channel Islands)

·    Redomiciled funds to Malta granted licences from MFSA as Professional Investor Funds, AIFs or UCITS funds

The redomiciliation of offshore funds can be viewed as a labourious process to get involved in, however with history of redomiciling funds and dynamic regulation, redomiciliation can be attained in 10 easy steps:

1.    Application for Fund licence to be filed with the MFSA;

2.    Draft constitution and offering documentation and other application documents;

3.    Full due diligence on the existing and new set up, including with theoffshore regulator;

4.    Notification of intent to the Registry of Companies in Malta;

5.    MFSA vets documentation and reverts with comments to promoters;

6.    Proposed redomiciled structure needs to be in line with requirements of the Investment Services Rules for PIFs, AIFs or UCITS directive as the case may be;

7.    MFSA issues In Principle Approval following satisfactory conclusion of due diligence;

8.    IPA details pre-licensing conditions that promoters are to address;

9.    Liaison MFSA / ROC with respect to resolution of all issues and conditions;