Apply for a Licence

Private Equity Depositaries ("PED's")

FAQs

The purpose of this page is to make sure that the application process is fully understood.

This section sets out:

  • What is a Private Equity Depositary ("PED") and what would this Licence allow you to do?
  • Capital Requirements
  • What do you need to submit?

What is a Private Equity Depositary and what would this Licence allow you to do?

A PED may only offer depositary services to Private Equity funds.

The activity of a PED comprises of four key duties:

  1. Monitoring all cash flows passing through the fund platform and in particular, ensuring that all monies received for the subscription and redemption of units or shares is properly bookkept.
  2. It is responsible for the safe-keeping of fund assets, whether through custody or through general verification of ownership.
  3. It must oversee the proper operation of the fund platform, implementing a number of ex post controls and checks to achieve this.
  4. Overseeing the proper management of funds.

The Alternative Investment Fund Managers Directive (“AIFMD”) recognises the need to broaden the scope of those persons who may act as a depositary in a private equity context. PED’s may include any of the following:

  • An authorised credit institution with its registered office in the EEA
  • A MIFID-authorised investment firm
  • Another institution subject to prudential regulation and ongoing supervision and which is eligible to act a depositary of a UCITS
  • A regulated entity which carries out depositary functions as part of its professional or business activities.

Capital Requirements

Minimum Capital requirements are £125,000.

What do you need to submit?

The applicant needs to submit an application pack with the following documents:

  • Application Form
  • Business Plan
  • Financial projections for the next 3 years
    • Profit and loss account
    • Balance sheet
  • Forecast PED return for the next 3 years
  • Individual Questionnaire (for each individual holding a notifiable position)
  • Body Corporate Questionnaire (for each entity holding a notifiable position)
  • Policies of the applicant on the following areas should be included in the application:
    1. Conflict of interest.
    2. Safekeeping Duties.
    3. Cash Monitoring.
    4. Oversight.

Business Plan

The following information should be submitted in the firm’s business plan:

  • Description of services to be provided and how these will be conducted.
  • Risk management function.
  • The firm’s risk appetite.
  • Corporate Governance arrangements.
  • Compliance arrangements.
  • How the firm complies with the mind and management requirements in Gibraltar.
  • How the firm complies with the legislative requirements, in particular with the protection of consumers.
  • Details of how the entity meets the requirement in relation to being a body subject to mandatory professional registration or legal/regulatory provisions or rules of professional conduct.
  • Information on financial and professional guarantees to enable it to perform the depositary functions required.
  • Details of outsourcing arrangements and how the PED will monitor such.

Guidance

Entities should consider the AIFMD requirements in their entirety prior to submitting an application. The AIFMD information page may also be of assistance.

Application Forms

Should you get an error when opening any of the forms, please check the FAQ's for guidance on how to override this.

  Application Form
  Individual Questionnaire
  Body Corporate Questionnaire

Returns

  Supervisory return - Alternative Investment Fund Depositary return to be completed by Private Equity Depositaries only

Service Level Standards

The current service level standards are:

  • To provide initial feedback to an application within 5 weeks of a complete application being received.
  • Once all of the information has been received from an applicant and the application is therefore considered to be complete, we aim to provide an in principle decision within 4 weeks.

Please be advised that the above service level standards refer to the period of time in which the GFSC holds applications for consideration. Where we require further information or documents from an applicant the service level standards will be suspended until we receive the requested information. The period of time an application is pending because of factors outside the control of the GFSC will not be accounted for under the service level standards.

Please note that should we be unlikely to meet our SLS’s, we will advise you as soon as possible.

The purpose of this page is to set out:

  • What is an extension?
  • What do you need to submit?
  • Guidance

What is an extension?

Firms or individuals that are already licensed by the FSC may apply to extend their authorisation/licence to provide additional financial or professional services.

If you are seeking a licence, authorisation or registration under a separate Act, please contact the Authorisation team so that we can determine what documents you are required to submit.

What do you need to submit?

An application pack is required to be submitted with all the relevant documents.

An application will not be considered complete if there are any outstanding documents.

The application pack must consist of:

  • Application Fee (if applicable)
  • Revised Business Plan
  • Financial projections for the the next 3 years, clearly identifying the impact of the additional business
    • Profit and loss account
    • Balance sheet
    • Returns (these need to be on a quarterly basis for the first year and then annually for the following 2 years)
  • Individual Questionnaire (for any new individual holding a notifiable position)
  • Body Corporate Questionnaire (for any new entity within the structure)
  • Trust Questionnaire (if applicable)

Any other document the applicant considers the FSC should take into consideration as part of the application.

Guidance

The licensee should consider and provide information on the following:

  • What new licence/authorisation it requires
  • The type of new business/activity
  • Where the business will be sourced
  • Resources to deal with the additional business
  • The impact of the additional business on its capital requirements
  • What changes are being effected to its systems and controls.