Experienced investor funds a good model

Gibraltar’s most popular hedge fund structure, the experienced investor fund (EIF), was created under the Financial Services (Experienced Investor Funds) Regulations 2005. An experienced investor is defined as either a corporate body, unincorporated association, trust or an individual whose net worth is over Ä1 million or someone who invests more than Ä100,000 in a fund. There is no requirement for the promoters of the fund to be licensed. It is sufficient for the fund administrator to perform the normal know your client and client acceptance procedures to be able to set up a fund in Gibraltar.

Each fund must have two directors authorised by the Financial Services Commission (FSC). If the fund is a unit trust with a corporate trustee or a limited partnership with a corporate general partner, two directors or the trustee or general partner must be FSC-authorised directors.

An EIF may appoint an investment manager in Gibraltar or in any other jurisdiction. It is sufficient under Gibraltar law that the investment manager or advisor is licensed or entitled to give investment management or

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