The ‘Work From Bermuda Residential Certificate’ was launched as of 1 August 2020 and permits individuals to live and work remotely from Bermuda for a 12-month time period. This Guide highlights the key aspects of applying for the Certificate, the criteria for applying and the benefits of living and working in Bermuda under the Certificate scheme.
Bermuda successfully launched the Digital Asset Business Act (DABA) in 2018 which established the foundation for a comprehensive legislative and regulatory framework designed to support and facilitate growth in the financial technology (Fintech) sector. The digital asset business regulatory regime also encompasses prudential rules (including the Digital Asset Business (Client Disclosure) Rules 2018, the Digital Asset Business (Cybersecurity) Rules 2018, and the Digital Asset Business (Prudential Standards) (Annual Return) Rules 2018) which help to ensure that Bermuda is a leading jurisdiction in the regulation of digital assets and the regulatory regime is fit for purpose.
The Investment Funds Act 2006 (IFA) was amended by the Investment Funds Amendment Act 2019 (IFA Revision) and became operative on 1 January 2020. The IFA Revision introduced some important changes to investment fund regulation in Bermuda with the intention of further strengthening the regulatory framework in Bermuda for funds. These changes are intended to address economic substance for collective investment vehicles which previously did not require any registration under the IFA or regulation by the Bermuda Monetary Authority (BMA) pursuant to the IFA. Consequently, closed-ended Bermuda investment funds and overseas investment funds which are managed or carry on promotion in or from within Bermuda are now required to seek registration or designation with the BMA during a transition period of 6 months. Our Memorandum considers these new categories together with some supplemental changes under the IFA Revision.
This Guide provides a brief overview and gives general information relating to the law and procedures for the establishment and operation of investment funds in Bermuda. It has been prepared to assist parties interested in establishing an investment fund in Bermuda and to give a summary of the law and procedures relating to the establishment, operation and ongoing requirements under Bermuda law. It is not intended to be comprehensive but to provide an outline of the laws and regulations which we hope will be of use to our clients while deciding the type of structure that is appropriate for their business objectives.
Tillman v Egon Zehnder Ltd: The English Supreme Court re-examines the enforcement of restrictive covenants – in favour of employers.
Bermuda passed economic substance legislation in December 2018 (ES Law) as part of the international initiatives for fairer taxation globally and, in particular, to address the technical scoping paper of the European Union (EU) for jurisdictions designated by the EU as ‘2.2 Jurisdictions’ (Scoping Paper). This 2.2 Scoping Paper set out criteria relating to ‘economic substance’ of certain entities doing business in or through these 2.2 Jurisdictions. Bermuda is a 2.2 Jurisdiction. The ES Law requires that a Registered Entity (which does not include a trust or partnership without legal personality) carrying on a Relevant Activity comply with certain economic substance and reporting requirements. For information on what business activity constitutes a Relevant Activity and these economic substance and reporting requirements affecting in scope Registered Entities reference should be made to our Memorandum.
The Digital Asset Business Act 2018 (DABA) is Bermuda’s latest development in establishing a comprehensive legislative and regulatory framework designed to support and facilitate growth in the financial technology (Fintech) sector. Bermuda has implemented digital asset business legislation in the form of the Digital Asset Business Act 2018, as well as prudential rules including the Digital Asset Business (Client Disclosure) Rules 2018, the Digital Asset Business (Cybersecurity) Rules 2018, and the Digital Asset Business (Prudential Standards) (Annual Return) Rules 2018. The DABA legislation regulates digital asset business carried on in or from within Bermuda and protects the interests of clients or potential clients of persons carrying on the business of digital asset business.
Bermuda is quickly becoming a world leader in the financial technology (Fintech) sector by putting into place a bespoke Fintech legislative and regulatory regime. Bermuda’s first major move from a legal standpoint is the implementation of legislation that governs Initial Coin Offerings (ICOs). Bermuda has successfully launched the world’s most progressive ICO legislation in the form of the Companies and Limited Liability Company (Initial Coin Offering) Amendment Act 2018 which came into effect on 9 July, 2018 and the Companies (Initial Coin Offering) Regulations 2018 and Limited Liability Company (Initial Coin Offering) Regulations 2018 which came into effect on 10 July, 2018.