The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

THE Bahamas was yesterday described as “the destination” for the creation of mutual funds, one manager stating that the jurisdiction was positioning itself to become a “serious market mover” in that industry.

Keith Kelty, managing director of Fund Haven Ltd, told a panel discussion at the Bahamas Institute of Financial Services’ (BIFS) seminar that the Bahamas was an attractive destination for the creation of mutual funds primarily due to the fact that it costs less to operate here, therefore providing investors with more profits.

“We find the Bahamas to be the destination for the creation of mutual funds for a number of reasons,” he said.

“Firstly, the cost is far less than most other jurisdictions. You’re looking at the cost to maintain it as well as the cost of all the different services and providers. The Bahamas is uniquely positioned to promote the mutual fund industry globally, and there are a lot of benefits to creating a Bahamian fund over, say a Cayman fund, where the cost to manage and maintain a fund is much more than it is here.”

Mr Kelty added: “On top of that we are pleased that the Bahamas offers a very strong regulatory framework.

“The Bahamas also offers a lot of other fund products apart from investment funds, such as Smart Funds and foundations. All of these are world class vehicles. High net worth families in emerging markets are looking for these types of vehicles. We are truly positioning ourselves to become serious market movers in that industry.”