Cayman Islands Hedge Funds Group

• Our Cayman office focuses primarily on the North American market and also houses our Latin American Group, which provides investment on all aspects of  investment funds.
• We have significant expertise in relation to Shariah Law compliant hedge fund products, in particular in our Dubai office.
• Our Hong Kong office funds group has particular expertise in hedge fund products preferred by Asian investors, such as unit trusts.
• Our London office primarily services the need of our European based clients. It is at the forefront of developments affecting investment funds under the European Union Alternative Investment Fund Managers Directive.

Companies. Companies are invariably incorporated with limited liability, with open‑ended investment companies issuing redeemable shares. The limited liability company is widely used for hedge funds.

Unit Trusts. The unit trust has been a popular vehicle for many years and Cayman Islands trust law essentially follows English trust law whereby unit trusts are established under a trust deed giving unit holders undivided beneficial interests in the trust property. Unit trusts are often used (in place of companies) for holding investors in jurisdictions where participation in a unit trust is more acceptable or attractive than shares in a company. 

Exempted Limited Partnerships. The exempted limited partnership concept tracks its Delaware equivalent and is therefore very popular with United States promoters and their advisers. Closed-ended/private equity funds are most commonly established in the Cayman Islands as exempted limited partnerships (see Private Equity Funds).