Dominique Lecocq of lecocqassociate considers which jurisdiction – Malta, Switzerland or Luxembourg – is right for your hedge fund.
Each jurisdiction has its own unique attractions for a fund manager contemplating the launch of a fund. While Luxembourg is traditionally an attractive option due to its long-standing track record in the fund business, Malta and Switzerland have proved to be advantageous options for new collective investment schemes.
This article seeks to provide an outline of the differences between Maltese Professional Investor Funds, Swiss Alternative Funds and Luxembourg Specialised Investor Funds.
Structure and Capital Contribution at Inception A Malta Professional Investor Fund (PIF) can be incorporated as an investment company with variable share capital (SICAV), an investment company with fixed share capital, a limited partnership, a unit trust or a contractual mutual fund. There is no requisite minimum capital to inject by the manager/promoter and no notary is required for incorporation.
A Swiss Alternative Investment Fund (AIF) can be incorporated as a contractual mutual fund or a SICAV. There is no requisite minimum capital to inject by the promoter and no notary is required for incorporation of a contractual mutual fund, while a minimum of CHF250,000 shall be injected if structured as a SICAV.