International Funds

International Funds

by Catherine Turner
Released December 2004
Publisher(s): Butterworth-Heinemann
ISBN: 9780080491585

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Book description

'International Funds' will provide readers with:
*A greater understanding of the benefits and limitations of funds to both retail and institutional investors
*An easy-to-read, yet technically comprehensive, insight into fund structures
*An overview of the variety of legal structures, regulatory categories and investment profiles available
*A detailed understanding of the practical aspects of fund valuation and administration, and the role of the various practitioners
*A view of the future of the international funds industry in the light of changing markets, regulation and investor appetite

* An easy-to-read, yet technically comprehensive, insight into fund structures
* Provides an overview of the variety of legal structures, regulatory categories and investment profiles available
* Presents a view of the future of the international funds industry in the light of changing markets, regulation and investor appetite'

Table of contents

  1. Front Cover
  2. International Funds: A Practical Guide to Their Establishment and Operation
  3. Copyright Page
  4. Contents
  5. Introduction
  6. Part 1: Principles of Fund Management
    1. Chapter 1. The concept of collective investment schemes
      1. 1.1 What is a FUND?
      2. 1.2 Capital structures
      3. 1.3 Legal structures
      4. 1.4 The size of the funds universe
      5. 1.5 Origins: the first collective investment vehicles and the emergence of a funds industry
      6. 1.6 Purposes, advantages and disadvantages of collective investment schemes
      7. 1.7 The market for funds – institutional, retail, specialist
      8. 1.8 The role of funds as a node between the investing public and the capital markets
      9. 1.9 Listed funds
      10. 1.10 Fund categorizations
      11. 1.11 Matching investors’ objectives (1/3)
      12. 1.11 Matching investors’ objectives (2/3)
      13. 1.11 Matching investors’ objectives (3/3)
    2. Chapter 2. Different fund structures
      1. 2.1 The different capital structures: open- vs. closed-ended schemes
      2. 2.2 Legal structures: corporate, trust-based, partnership and contractual vehicles (1/2)
      3. 2.2 Legal structures: corporate, trust-based, partnership and contractual vehicles (2/2)
      4. 2.3 ‘Onshore’ vs. ‘offshore’ vs. ‘international’
      5. 2.4 ‘Umbrella fund’ structures
      6. 2.5 Protected Cell Companies
      7. 2.6 Feeder funds
      8. 2.7 Funds-of-funds
      9. 2.8 Exchange traded funds
    3. Chapter 3. The regulatory environment
      1. 3.1 Recap: the regulatory definition of a fund
      2. 3.2 Regulation of schemes, and applicable exemptions
      3. 3.3 Regime for functionaries, and applicable exemptions
      4. 3.4 Compensation schemes
      5. 3.5 Advantages and disadvantages of regulated status
      6. 3.6 Applying for a license, and applicable exemptions
      7. 3.7 ‘Fit and proper’ status – sponsors, service providers
      8. 3.8 Ongoing supervision
      9. 3.9 Investor due diligence requirements
      10. 3.10 Recognition regimes for foreign schemes
      11. 3.11 The rationale for investment restrictions
      12. 3.12 Typical restrictions on securities funds
      13. 3.13 Typical restrictions on money market funds
      14. 3.14 Restrictions on feeder funds
      15. 3.15 Restrictions on funds-of-funds
      16. 3.16 Restrictions on futures and options funds (FOFs)
      17. 3.17 Restrictions on geared futures and options funds (GFOFs)
      18. 3.18 Restrictions on property funds
      19. 3.19 Umbrella funds
      20. 3.20 Investment trusts
      21. 3.21 ‘Offshore funds’
      22. 3.22 Hedge funds
  7. Part 2: Practical Aspects of Fund Management
    1. Chapter 4. Overview of the operation of a fund
      1. 4.1 The fund sponsor
      2. 4.2 The fund manager
      3. 4.3 Managed managers
      4. 4.4 The Authorized Corporate Director
      5. 4.5 The investment adviser or manager
      6. 4.6 The directors of the fund company (OEICs and investment trusts, not unit trusts)
      7. 4.7 Fund administrators
      8. 4.8 Registrar
      9. 4.9 The trustee (unit trusts)
      10. 4.10 The custodian (OEICs, investment trusts, not unit trusts)
      11. 4.11 The regulator
      12. 4.12 Distributors
      13. 4.13 Auditors
      14. 4.14 Legal adviser
      15. 4.15 Brokers
      16. 4.16 Insurers
      17. 4.17 Putting it all together
      18. 4.18 Tax considerations and the allocation of responsibilities
    2. Chapter 5. Valuations and pricing
      1. 5.1 Open-ended schemes – first principles of pricing
      2. 5.2 Why are valuations carried out?
      3. 5.3 What are the various elements of a valuation?
      4. 5.4 Recap: the basis of NAV-based pricing
      5. 5.5 Typical dual pricing models
      6. 5.6 Simple practical example of a dual pricing valuation
      7. 5.7 Dual priced funds and ‘spreads’
      8. 5.8 Calculating yields
      9. 5.9 Adjustments to the spread on dual priced funds: pricing on a ‘Bid’ or an ‘Offer’ basis
      10. 5.10 Typical offshore pricing models
      11. 5.11 Simple practical example of an offshore fund
      12. 5.12 Adjustments to single prices: dilution levy (also known as ‘Dealing Charge’)
      13. 5.13 Valuation checks
      14. 5.14 Consequences of over- and under-pricing
      15. 5.15 Forward and historic pricing
      16. 5.16 Valuation patterns for funds with income and accumulation units/shares
      17. 5.17 Pricing of closed-ended funds (e.g. investment trusts)
      18. 5.18 Publication of pricing data
    3. Chapter 6. Documentation
      1. 6.1 Introduction
      2. 6.2 Trust Deed (unit trusts only)
      3. 6.3 Declaration of trust
      4. 6.4 Memorandum and Articles of Association (OEICs, not unit trusts)
      5. 6.5 Partnership agreement (funds established as partnerships)
      6. 6.6 The management agreement
      7. 6.7 Other agreements
      8. 6.8 The offering documents and scheme particulars
      9. 6.9 Key features document
      10. 6.10 The fund’s license/authorization
      11. 6.11 Application/registration details form
      12. 6.12 Contract note
      13. 6.13 Cancellation forms
      14. 6.14 Unit/share certificates
      15. 6.15 Form of renunciation
      16. 6.16 Report and accounts/financial statements
      17. 6.17 Income distribution voucher/warrant
      18. 6.18 Grant of probate
      19. 6.19 Power of attorney
    4. Chapter 7. The dealing desk
      1. 7.1 Communications with existing and prospective investors
      2. 7.2 Placing investor deals
      3. 7.3 Other dealing room activities
      4. 7.4 Registration
      5. 7.5 The manager’s box
      6. 7.6 Pricing errors
      7. 7.7 Large deals and their impact
      8. 7.8 Equalization and performance fees
    5. Chapter 8. Income distributions
      1. 8.1 Nature and source of income
      2. 8.2 Income distribution mechanics
      3. 8.3 Price of shares/units
      4. 8.4 Dividend/distribution re-investment
      5. 8.5 How often are distributions made?
      6. 8.6 Responsibility for the calculation and payment of distributions
      7. 8.7 Calculation of distributions
  8. Part 3: Markets and Developments
    1. Chapter 9. Domestic funds regimes
      1. 9.1 The UK market
      2. 9.2 The US market
      3. 9.3 The European market (1/2)
      4. 9.3 The European market (2/2)
    2. Chapter 10. Distribution regimes: selling foreign schemes into regulated jurisdictions
      1. 10.1 The regulatory environment: recognition of foreign schemes
      2. 10.2 Overseas schemes: regulatory distribution issues in the United Kingdom
      3. 10.3 Facilities to be maintained by foreign schemes recognized in the United Kingdom
      4. 10.4 The UK distributor status regime
    3. Chapter 11. A comparison of some international funds centres
      1. 11.1 Bermuda
      2. 11.2 The British Virgin Islands
      3. 11.3 Cayman
      4. 11.4 Dublin
      5. 11.5 Guernsey
      6. 11.6 Isle of Man
      7. 11.7 Luxembourg
    4. Chapter 12. Miscellaneous
      1. 12.1 Insurance issues: when things go wrong
      2. 12.2 Some useful checklists (1/3)
      3. 12.2 Some useful checklists (2/3)
      4. 12.2 Some useful checklists (3/3)
  9. Index

Product information

  • Title: International Funds
  • Author(s): Catherine Turner
  • Release date: December 2004
  • Publisher(s): Butterworth-Heinemann
  • ISBN: 9780080491585