Cayman Islands: Wealth & Asset Management

The Cayman Islands Monetary Authority has introduced sweeping changes to anti-money laundering audit requirements for investment funds, mandating independent audits of entire compliance programmes by September 2026. This marks a fundamental departure from previous practice where internal AML officers could conduct their own testing, raising critical questions about implementation timelines, qualified auditor availability, and compliance costs for funds operating in the jurisdiction.

The Cayman Islands (Cayman) has long set the benchmark for sophisticated private wealth structuring and solutions.

Bringing on an outside team to handle accounting and reporting can help alternative asset managers focus on their core competencies.

Cayman Islands law permits the registration of segregated portfolio companies ("SPC").

On 15 April 2024, Directive 2024/927/EU amending AIFMD (2011/61/EU) and the UCITS Directive (2009/65/EC), as regards delegation arrangements, liquidity risk management, supervisory reporting, the provision of depositary and custody services and loan origination by alternative investment funds ("AIFMD II") entered into force.

As an evolving area of commercial disputes in the Cayman Islands, global enforcement trends provide us with valuable insight into the types of regulatory proceedings on the horizon for offshore jurisdictions.

We round out 2022 against a backdrop of significant challenges for many economies, as a result of high inflation and the ongoing fallout of the pandemic and the war in Ukraine.

An independent director is a member of a board of directors who has no other links with the company other than sitting on the board.

If you are considering winding down your Cayman Islands business before 2022 is over, it's important you get the ball rolling now, because the process can be a lengthy one.