OFC Structure
Directors
- An OFC must have at least two directors, who must be
- natural persons;
- aged 18 or above; and
- not an undischarged bankrupt unless with the leave of the court
- At least one of the directors must be an independent director
- OFC Code provides guidance on independent director, who must not be a director or employee of the custodian
- Directors must delegate investment management functions to the investment manager by an investment management agreement
Investment manager
- An OFC must have an investment manager who is responsible for managing the scheme property of the OFC
- The investment manager:
- must be registered or licensed for Type 9 (asset management) regulated activity; and
- must be and remain fit and proper, at and after the registration of the OFC
Custodian
- An OFC must have a custodian, and all the scheme property of an OFC must be entrusted to a custodian of the OFC for safe keeping
- To be eligible as a custodian of an OFC, an entity must:
- meet same requirements as to the type of entities and capital requirements as those under the Code on Unit Trusts and Mutual Funds (UT Code); or
- for a custodian of a private OFC only, be a licensed corporation or registered institution licensed or registered for Type 1 regulated activity which meets eligibility criteria under 7.1(b)(ii) of the OFC Code
- Appointment of multiple custodians is permitted
Last update: 15 Oct 2021