There is also the option to use a segregated portfolio company, where a manager decides that they want to take advantage of the innovative statutory segregation and ring-fencing of liabilities. Operators can choose whether to use the internationally recognised BVI business company or, indeed, the recently updated limited partnership structure, which meets all of the requirements that investors might need. The BVI benefits from a diverse offering of open-ended fund products suited to everyone – from the start-up manager setting up an incubator fund, through to established institutional fund managers with billions under management. The number of approved managers has steadily grown since its introduction in 2012, with 270 currently approved by the FSC.

The BVI also offers a very popular and cost-effective regulated fund management product in the form of the ‘approved manager’. The BVI continues to be a significant player in the offshore hedge fund space, with approximately 1,500 hedge funds recognised by the BVI Financial Services Commission ( FSC). It has been an attractive and popular jurisdiction for hedge funds for over 30 years, and with the recent updates to the legislative framework on 1 January 2020, there are even more reasons to use a BVI vehicle as a springboard for offshore fund raising. This article highlights the BVI’s versatile range of fund products available for every type of manager.Īs soon as an investment manager considers the establishment of an offshore fund vehicle, the British Virgin Islands will be part of their thought process.

Bvi incubator hedge fund