The purpose of this page is to explain the application process for a CIS Administrator.
This section sets out:
- What a CIS Administrator is and what this regulated activity would allow you to do
- Authorisation Process
- Capital Requirements
- Additional Information
What is a CIS Administrator and what would this regulated activity allow you to do?
A CIS Administrator provides administration services to collective investment schemes. CIS Administration is a regulated activity under the Financial Services Act 2019. A CIS administration permission will allow a firm to carry out the below services to collective investment schemes.
- Fund accounting: Maintain principal books and records, calculate, and publish Net Assets Values for funds under administration. The administrator will also calculate and arrange for the disbursement of fees, costs and expenses in accordance with the fund’s private placement memorandum.
- Registrar, transfer agency and client services: Receive and distribute monies, and process and record relevant details in the share register and communicate the same to fund investors. Establish banking and/or custodian relations for the funds under administration and account for the receipt of monies invested.
- Financial accounting: Maintain the fund’s financial and accounting records, arrange for the preparation of the annual financial statements. The administrator will also appoint, correspond and deal with, on a day-to-day basis, the auditors of the funds under administration. They will also arrange for quarterly reports to investors if applicable.
- Compliance: Review, monitor and ensure continued compliance with applicable legislation for funds under administration and to ensure that only fit and proper persons/legal entities are permitted to form, maintain and/or invest in funds under administration. Administrators will review money wired in or out of the fund’s bank accounts and compliance to Gibraltar Anti Money Laundering requirements. The Administrator will also assist funds in obtaining listing on stock exchanges and ensure ongoing compliance with the same. This is also the responsibility of the Directors of the fund.
CIS Administrators are required to have a service agreement with funds that set out the agreed services that the CIS administrator will provide to the fund, the fees to be charged and termination provisions.
Fund structures such as Experienced Investor Funds require an administrator.
Applicants should submit an application pack with all relevant documents. We will not consider an application complete if there are any outstanding documents.
The application pack must consist of:
- Application Fee;
- Application Form;
- Financial Projections for the next 3 years
- Stress Test on Financial Projections;
- Profit and Loss account;
- Balance Sheet;
- Regulated Individual Form (for each Regulated Individual);
- Non-Executive Director Form (for each non-executive director);
- Controller Form (for each Controller);
- Business Plan;
- Risk methodology and framework
- Supporting Policies and Procedures
- Details of Source of Wealth/Source of Funds (including final ownership structure, details of capital within the group, how the funding will be provided, access to further funds and 3-year financial statements for companies providing the funding. If an individual will provide more than 10% of the funding, we will require an independently verified statement of wealth);
- Busines Continuity Plan; and
- Any other document the applicant considers the GFSC should take into consideration as part of the application.
Please request cloud access from the Authorisation team in order to submit the application pack. Requests should be sent via E-mail to email@example.com with the following information in the subject field: ‘Name of Regulated Firm/Applicant – Application’. Paper copies are not required unless indicated by the Authorisation team.
Please note that we accept signed signature copies sent via e-mail and electronic signatures, which must originate from the Regulated Firm’s/Applicant’s domain.
The minimum regulatory capital is £10,000. The GFSC may however require that a firm hold higher amounts of capital than the stipulated minimum.
When completing your application pack, the business plan information should comprehensively set out:
- How many funds the firm intends to provide services to and information on the funds;
- Details of the Mind and Management in Gibraltar;
- Where clients will be sourced;
- The risk appetite of the firm;
- The firm’s risk management function;
- Details of the Corporate Governance arrangements;
- Details on all outsourcing agreements the firm intends to establish and how the firm will ensure oversight over this;
- Anti-Money Laundering arrangements; and
- How the firm will be structured and staffed.