CIMA updates private funds governance
In a recent Statement of Guidance, the Cayman Islands Monetary Authority (CIMA) updated its expectations on corporate governance for private funds.
The list is explicitly neither prescriptive nor exhaustive and suitability of a fund’s governance framework will be assessed among others on the basis of size, complexity, structure, nature of business and risk profile, according to CIMA.
As per the statement, responsibility ultimately lies with the GP of a fund and the regulator expects the following:
- An appropriate number of individuals with a diversity of skills, background, experience and expertise to ensure an adequate level of competence
- Compliance monitoring for the activities of the fund and its service providers, backed up by appropriate requests for information
- Regular reporting.