02 CAYMAN – A GLOBAL FINANCIAL CENTRE

Cayman

A Global Financial Centre

An overview of the Island’s banking, fund management, captive insurance and trust industries, structured finance, currency, the stock exchange and aircraft/ship registration.

Beneficial Ownership 37 Legislation to Meet Client Needs 37 Cayman’s Financial History 37 Jurisdiction of Choice 37 Banking 38 Taxation 38 Investment Funds 38 Trusts 40 Companies & Partnerships 40 Structured Finance 41 Collateralised Loan Obligations 41 Independent Directors 41 Financial Technology ‘FinTech’ 42 Single Family Offices 42 Insurance Legislation 44 Captive Insurance & Reinsurance 44 Domestic Insurance 44 Cayman Islands Insurance Association 44 Cayman Islands Stock Exchange 46 Cayman Finance, Currency 46 Aircraft/Ship Registration 46

Photos courtesy of Rebecca Davidson

Despite the global pandemic, the Cayman Islands continues to maintain its dominant position as a leading global financial hub, efficiently connecting law-abiding users with providers of investment capital and financing worldwide, benefitting both developed and developing countries. Cayman’s commitment to excellence and modern legislation are a few key elements of its performance, particularly in capital markets and investments. Cayman is one of the world’s leading international financial centres. Alongside this, Cayman is strengthened by its close connections to the United Kingdom as a British Overseas Territory. Cayman is the number one domicile for healthcare and group captives, and continues to excel globally in banking, capital markets, trusts and fiduciary services.

The success of the financial services industry is attributed to our sound regulatory regime and political and economic stability, supported by highly skilled and experienced service providers. Additionally, we ensure adherence to international standards and we are committed to supporting global efforts to fight financial crime. Cayman is a leading jurisdiction worldwide for mutual funds and its strong international reputation has come due to our commitment to the principles of openness and transparency and we have continuously improved our legislation to meet international demands. This includes recent amendments to the Mutual Funds Act and the enactment of a Private Funds Act which implemented new rules for the registration, administration and supervision of funds.