 |
|
|
|
|
|
|
Services > Third party fund administration > Overview
|
 |
|
Fund types and regulatory framework
Services for Private Equity Funds
Services for Hedge Funds
Real Estate and Property Funds
Standard Bank Funds
Broker Advised Funds
Position in the Market
Basis of our fees
Contact us
Fund administration activities
- Provision of full fund administration services for a range of open and closed-ended fund entities for both retail and institutional clients
- Services provided to Standard Bank and to third party clients globally
- Team of over 70 - including 6 directors, highly experienced in managing all aspects of fund and corporate administration
- State of the art pricing, accounting and transfer agency systems
Types of funds and structures
The following types of vehicle are administered:
- Money market, bond and equity funds
- Feeder funds
- Funds of funds
- Hedge funds and funds of hedge funds
- Emerging market and trade finance funds
- Broker advised (white label) funds
- Private equity funds
- Property funds
- Structures include open or closed-ended funds, master/feeder arrangements, limited partnerships, protected cell & incorporated cell companies and unit trusts
- Shari’ah compliant funds
Why administer funds from Jersey with Standard Bank?
- Jersey’s funds industry was founded in the late 1970’s
- The Island remains a popular location in which to administer specialist vehicles such as open-ended funds
- In 2004 the Island updated its funds legislation to enhance its competitiveness and facilitate a lighter regulatory regime
- Jersey offers a tax neutral fiscal environment and has the same credentials as a member of the OECD
- As a jurisdiction regarded globally as one of ‘equivalence’, Jersey boasts high standards of regulation and corporate governance
- Cost effectiveness, speed and flexibility of services offered
Services provided
- Accounting
- Share/unit pricing/net asset value calculations
- Share/unitholder records
- Company secretarial facilities
- General administration including liaison with promoters, brokers and investors
- Fee calculation, collection and disbursement
- Close working relationships with accountants, legal advisers and regulators
Other services
- Standard Bank can provide a “one stop shop” for fund administration, custody and listing on the Channel Island Stock Exchange
- Full banking (including foreign exchange) and custody services available through Standard Bank Jersey Limited
- Arrangements can be made for the appointment of an external custodian (if required)
- Corporate administration expertise gained from administration of funds is also applied to the administration of capital market and structured finance products
Top
Fund types and regulatory framework
Jersey Expert Funds
- Launched in February 2004 and refined in November 2006
- Flexible framework for expert and institutional investors
- Light touch regulation by the Jersey Financial Services Commission (JFSC)
- Funds established in 72 hours
- Application process managed by Standard Bank as Jersey based functionary
- Easy to qualify
- May be closed ended or open ended
- Can be listed on the Channel island Stock Exchange
Expert investors include
- Professional and institutional investors
- Investors with a net worth, or joint net worth of over US$1m (excluding principal residence)
- Investors making a minimum investment of US$100,000 or currency equivalent
- A company, partnership or trust which has (or which is a wholly owned subsidiary of a body corporate which has) assets available for investment of not less than US $1,000,000 (or currency equivalent)
Expert fund requirements
- Offering document - containing all material information
- Investment manager - must have relevant experience, be solvent and free of criminal or regulatory breaches and be regulated in an OECD member state or a jurisdiction with which the JFSC has a Memorandum of Understanding including jurisdictions which are signatories to the IOSCO Multi-Lateral Memorandum of Understanding
- Derogation available on application to the JFSC when unregulated (either due to home jurisdiction or activity, e.g. property funds)
- Jersey based administrator, manager or trustee as appropriate
- Administrator adopts oversight role – monitoring functionary
- Safe custody arrangements to be in accordance with JFSC guidelines
Private funds
- Ability to advise on establishment of private/professional investor funds
- Can be set up for corporate clients or wealthy family groups
- Funds may be closed or open-ended
- Limited regulatory involvement - Jersey structures often referred to as “COBO only funds”
Non - Jersey funds
- Non - Jersey funds that are equivalent to expert funds can be authorised under the same fast track process as if they were Jersey expert funds
- Where administration services are provided to non - Jersey funds which are marketed to less than 50 investors, no permits are required
- Non - Jersey funds which are not expert funds and will be marketed to more than 50 investors will require Jersey functionaries to obtain permits
- Standard Bank Fund Administration Jersey Limited already has a number of such permit holding funds
Top
Asset Classes
Private Equity
Services for Private Equity Funds
Administration of:
- Limited partnership including all parallel partnerships and/or co-investment vehicles
- Investment holding companies within structure
- General Partner and other managing entities
- Initial limited partner
- Carried interest vehicle and other entities used in tax planning of the fund structure
Private Equity- service style
- Provision of full service, including provision of directors to General Partner on a whole or partial board basis
- Provision of execution only services, acting on proper instruction from persons authorised in limited partnership documentation
- Service tailored to meet your needs
- administration
- reporting
- custodial
Limited Partnership administration - prior to/on launch
Services provided prior to/on launch:
- Review and comment on fund documentation to ensure administratively practical
- Assistance in selection of auditors, including arranging for any necessary opinions
- Management of initial and subsequent closing, including
- collection of documentation
- issue of drawdown notices
- calculation of equalisation between LPs
- Collection of anti-money laundering documentation from limited partners
On-going
- Issue of drawdown notices for fees and investments together with monitoring of bank accounts to ensure timely receipt
- Processing of investment transactions, including dealing with lawyers and investee companies
- Dealing with corporate actions and correspondence with investee companies
- Payment of all fees and expenses
- Management of all communications with LPs
- Dealing with requests for transfer of interests
- Management of distribution process to LPs and carried interest partner following sale of investment
Reporting and Accounting services
- Maintenance of accounting records
- Preparation of periodic reports, including preparation of capital accounts and calculation of carried interest and internal rates of return
- Advice on form and content of Investment Advisors Report to ensure adherence to industry best practice
- Distribution of reports and other information to limited partners
- Arranging tax reporting
Banking and custodial services
- Opening and maintenance of bank accounts
- Arrangement of credit lines for cash flow management
- Provision of FX facilities
- Safe keeping of share certificates and other documentation from investee companies
- Access to global custodial services for listed or registered stocks
- Open and transparent basis of charging
Systems
- Automated processes ensure the efficient and timely production of both valuations and shareholder reports
- eFront Private Equity System provides investor and investment advisor access to all relevant records
Top
Asset classes
Hedge Funds
Services for Hedge Funds
- Experience in wide range of hedge fund strategies, including
- emerging market debt
- long / short
- leveraged
- Total assets of US $3,106 million in 16 pools/funds
- Current structures use variety of master/feeder funds, fund of hedge funds/pure hedge funds
- Tried and tested IT systems
- Calculation and publication of NAV
- Full investor registration services
- Calculation of performance fees
Services for Hedge Fund Managers
- Advice and assistance with structuring
- Project management of fund set up process
- Administration of corporate structures associated with the fund including any management company
- Assistance in establishing a physical presence
Hedge Fund - Systems
- System provided by Linedata Services Limited
- Automated processes ensure the efficient and timely production of both valuations and shareholder reports
- Effective systems for registration and transfer agency services provided by Silica of South Africa
Top
Asset Classes
Real Estate and Property Funds
Property fund services
- Ability to deal with both open-ended and closed-ended structures
- Open-ended treated in the same way as any of our existing open-ended funds
- Limited partner structures dealt with using tried and tested procedures
- Ability to deal with SPVs
- Full administration and provision of directors to SPVs within property fund structure
- Access to full range of banking services
- Currently administering 5 real estate funds from Jersey
Property fund services
- Administration of all transaction vehicles
- Provision of services to Jersey based investment manager / general partner
- Working in partnership with transaction lawyers, local lawyers and other advisors on acquisition, refinancing or disposal of properties
- Dealing with lenders to structure entities
- Establishing procedures post completion including compliance with all regulations
- Proactive approach to ongoing issues
- Full administration, valuation and accounting for all entities within the structure
- Our core system, ICON, facilitates use of:
- Sub-ledgers for each property holding SPVs which can then be consolidated to produce valuations for the whole fund
- Master/feeder structures
- Multi-currency funds investing in single master fund
- Umbrella funds blending property master fund with other asset classes
- Multi-currency classes feeding same investment pool
- Registration and Transfer agency - capability to deal with large registers
- Collection of investor “KYC” documentation
- Familiarity with corporate & unit trust structures
- Standard Bank Jersey Limited able to offer trustee & custodian services from Jersey
- Banking services may include currency hedging & lending against properties that meet Standard Bank Jersey’s lending criteria
Top
Asset Classes
Standard Bank Funds
Standard Bank products:
- StanLib Offshore Unit Trusts - 27 class umbrella trust which feeds into Fidelity‘s Luxembourg range of funds
- Standard Asset Selection Funds - fund of hedge funds
- Melville Douglas International - 5 funds offering a variety of equity and fixed income options
- Standard Bank Strategist Funds - multi-manager fund of funds with Sterling, US dollar and Euro classes
Asset Classes
Broker Advised Funds
Competitive “white label” fund service is available offering:
- Short establishment period & low cost
- Provides brokers/advisers with ability to pool and advise on their own fund (single or multiple classes)
- Reduction in administration and avoidance of capital gains tax until client’s holding is redeemed
- Low cost switching of investments
Position in the Market
- Standard Bank has a significant presence in the Jersey offshore fund administration marketplace. Fund administration provided to entities established in other jurisdictions including Cayman, Guernsey and Mauritius as well as Jersey.
- Standard Bank is the fifth (5/38) largest administrator by asset value, third by absolute number of funds and the bank is the sixth (6/14) largest custodian of Jersey domiciled funds by asset value ( source: Fitzrovia Jersey Fund Encyclopaedia 2006/2007)
Current business
- Over 145 funds within various structures
- Full spectrum of investments including less common asset classes such as commercial property, art, renewable energy plant, development funds
- Assets under administration in excess of US$12.4 billion
- Approximately 10,000 investor records
- Safe custody operations
Top
Basis of our fees
- All external costs associated with establishment of vehicle e.g. legal & regulatory fees normally charged to the vehicle
- Flexible fee basis to meet your needs
- fixed
- asset based
- transactional based
- combination
- Realistic minimum fees to help kick start new funds
- Pragmatic approach to delayed fees for start up
Differentiation
- Flexibility & service standard
- Experienced team
- Range of product coverage
- Integrated custody capability
- Strength in emerging markets
- Non aligned
- Big enough to be credible but small enough to avoid “one size fits all”
- Central European time zone
- Jurisdiction of equivalence
- High standards of regulation and supervision
- Robust and tested legal framework
Conatct us
For any further information please contact:
David King
Standard Bank Offshore
Telephone: +44 (0) 1534 881211 or
e-mail: david.king@standardbank.com
Top
|
|
|
|
|
|
|
|
|
|
|
