Fund Administration

Global Funds are entities holding a Global Business Corporation Licence under the Financial Services Act and are authorised under the Securities Act 2005 as a Collective Investment Schemes (CIS) or a Closed-End Fund (CEF).

Global Funds can be structured as a company, a trust, a protected cell company (PCC) or in any other legal form as approved by the FSC.

Global Funds can take the form of:

· A CIS which has a variable share capital (Open End Fund). Investors are allowed to redeem their shares at net asset value at pre-determined times in accordance with its Constitution;

· A CEF which has a fixed share capital. Investors do not have the right to call for their shares to be redeemed at net asset value by the company. The company may be formed with a limited life after which the assets are distributed to investors on winding up.

The advantage of a Global Fund as compared to a company holding a Global Business Corporation Licence is that it may invest in unlisted and listed entities (whether the stock exchanges are in India or elsewhere).