TaxTMI 
TaxTMI 
International Financial Services Centres Authority (Fund Management) (Amendment) Regulations, 2025
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....s Centres Authority hereby makes the following regulations, further to amend the International Financial Services Centres Authority (Fund Management) Regulations, 2025, (hereinafter referred to as the principal regulations), namely: - 1. (1) These regulations may be called the International Financial Services Centres Authority (Fund Management) (Amendment) Regulations, 2025. (2) They shall come into force on the date^# of their publication in the Official Gazette. 2. In Chapter VI titled 'OTHER FUND MANAGEMENT ACTIVITIES', after regulation 107 of the principal regulations, the following Part shall be inserted, namely:- "PART D: THIRD-PARTY FUND MANAGEMENT SERVICES 107A. A FME may launch a scheme on behalf of a third-par....
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....ploy resources commensurate to the size of its operations in the IFSC, so as to ensure adequate focus on the compliance for each scheme. (3) The FME and the fiduciaries shall ensure compliance with this Part. (4) Notwithstanding any arrangement of FME with the third-party including the indemnification arrangement, the FME shall continue to be liable for any and all obligations or liabilities arising in connection with the third-party fund management arrangement. 107D. Legal Form of the FME (1) The FME seeking authorisation under this Part shall be set up in the IFSC in the form of a company, limited liability partnership (LLP) or any other form as may be permitted by the Authority. (2) In case of....
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.... of this regulation shall be carried out in the manner specified by the Authority. 107F. Net worth requirement A FME seeking authorisation to offer third-party fund management services shall, at all times, maintain an additional net worth of USD 500,000 or such other amount as may be specified by the Authority; Explanation. - Such net worth shall be separate and in addition to: (i) the minimum net worth requirements applicable for its activities as a FME for the schemes, Portfolio Management Services or any other activities as permitted under these regulations as per the category of its registration, wherein a third-party fund management arrangement is not involved; and (ii) the minimum net worth....
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....third-party fund management services even if its ultimate or interim parent entity is not engaged in the fund management activities. 107I. Disclosures to investors For the Restricted Schemes that are managed under the third-party fund management services, besides making disclosures under regulation 36, the FME shall make the following disclosures under a separate head / section at a prominent place in the placement memorandum: (a) Details of the third-party and the persons who effectively conduct the business of such third-party; (b) Details of the segregated responsibilities of the FME and such third-party; (c) Potential conflicts of interest that may arise due to the third-party fund management....
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.... (c) the liability of the FME towards any Restricted Scheme and its investors is not affected due to the third-party fund management services; (d) the third-party is qualified and capable of undertaking the entrusted functions, and that such third-party was onboarded with due care and caution; (e) the activities undertaken by the third-party are monitored by the FME and in doing so, the FME may issue such instructions to such third-party as it may deem necessary; (f) the third-party fund management arrangement enables the FME to terminate the arrangement at any time, in the interest of investors or on the directions of the Authority; (g) it reviews the services rendered by each third-party on an ongo....