Treasure islands

The top three domiciles for hedge funds in 2000 were the Bahamas, Cayman Islands and British Virgin Islands, according to statistics from Standard and Poor's. It was the same in 1999, with Bermuda coming in in fourth place.

Hedge fund managers need to consider various factors when choosing a domicile for their fund. And although the Caribbean domiciles fulfil the requirements of many hedge fund managers, there are other options.

Lawyers usually manage the legal, tax and documentary process of

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