QUARTERLY NEWSLETTER

NAVIGATORthe

Following Government’s announcement regarding the safe reopeningof businesses that were closed since mid-March, CIMA opened its mainoffices at Cricket Square, Grand Cayman on 22 June. Appropriateprotocols have been put in place to ensure compliance with COVID-safe practices. As a reminder, please see details below.

Remote WorkFlexible working arrangements have been applied whereby staff arecurrently utilising a combination of a shift-based work-in-office andwork-from-home approach. Continued access to staff should be donevia email or available video conferencing facilities such as Zoom.

Office VisitsFace masks are required upon entry, with a strictly enforced two-person maximum occupancy in the reception area. Visitors will also berequired to sanitise their hands before entering and are asked tomaintain a distance of at least 6 feet when in the reception lobby, orother common areas within the building.

Our currency sales counter located at the Government AdministrationBuilding will remain closed until further notice.

Mail & Physical Document DeliveriesPlease note that mail drop offs and physical documents are nowaccepted. However, to limit personal contact, such documents must beplaced in the designated drop box located at the reception lobby until

CIMA Reopens

New Staff on Board

Private Funds & MutualFunds Laws FAQs

CIMA Delegates in AbuDhabi

02

03

05

06

What’s Inside

July 2020

Staff Promotions

New Staff on Board

07Latest Quaterly Statistics

08New Staff on Board

09New Staff on Board

CIMA Reopens

2

Ms. Feona Lopez joined theAuthority on 1 July as an Analystin the Investments SupervisionDivision.

She holds an Associates of ArtsDegree in Accounting and iscurrently pursuing her Bachelors.Ms. Lopez brings with her over 16years of experience to the post.

Prior to joining CIMA, she workedat Harneys Fiduciary (Cayman)Limited as a Credit Controller/Corporate Services OperationsAdministrator for three years andpreviously at Citco Fund Servicesas an Accountant for 13 years.

Looking forward to her new role,Ms. Lopez says she is verygrateful for the opportunity to bea part of the Authority. “I amvery excited to contribute to thework of my team, and to theAuthority’s continued success.”

further notice. Our receptionist will not be acceptinghand deliveries at this time. For documents requiringproof of delivery, persons should continue to makeonline submissions to the respective divisions viaemail or our Regulatory Enhanced Electronic FormsSubmission (REEFS) portal, where possible. CIMAwill continue to accept electronic copies of affidavitsalong with any other documents that have beennotarised/certified.

Fee PaymentsFor licensee related fee payments, please continueto utilise the available Escrow or wire transfer ordomestic electronic transfer services.

As the security of all employees, the general public,and the financial community that we serve remainsour top priority, CIMA will continue to monitor thesituation and reassess its response accordingly.

CIMA Reopens cont’d

New Staff on Board

INDUSTRY REMINDER

Ahead of the 7 August deadline to register private funds andlimited investor funds, published FAQs for the new Private

Fund Law and Mutual Fund (Amendment) Law have recentlybeen updated

See next page for more information

3

Private Funds

Mutual Funds(Amendment) Law 2020

Private Funds & Mutual Funds Laws FAQsIn relation to the revised Private Funds Law (PFL) 2020 (originally published in April and updated in May)and the Mutual Funds (Amendment) Law (MFL) 2020, CIMA has recently updated its FAQs to provide furtherguidance on the registration process and audit requirements for funds. Some of the most commonly referredFAQs updates (as of June 2020) have been compiled below for ease of reference.

What are the audit requirements for Private Funds?

Will an audit for a Private Fund berequired for 2020?

Does the Rule: Segregation of Assets– Regulated Mutual Funds prohibitcommingling of assets as part ofsub-custodial arrangements?

Does the Rule: Segregation of Assets– Registered Private Funds prohibitcommingling of assets as part of sub-custodial arrangements?

Pursuant to Section 13 (1) of the PFL,Private Fund accounts must be auditedannually by an auditor approved by CIMA

The Rule: Segregation of Assets – RegulatedMutual Funds does not prohibit primebrokerage/custody arrangements that allow, inaccordance with established and acceptedindustry practice, a custodian/sub-custodian tohold all client assets in a commingled clientomnibus account along with the assets of otherclients.

Yes. All Private Fundsthat were active as at 7February 2020, or weresubsequently registeredprior to 7 August 2020,are required to submitaudited accounts andFAR for the 2020financial year within sixmonths of their financialyear-end. Auditedaccounts are subject tothe local audit sign-offrequirement.

Private funds with a FYEthat fall between 7February 2020 to 31 July2020 will be granted anadditional three monthsto file audited accountsand FAR. For example,private funds with afinancial year-end ofFebruary 2020 areallowed an extensionuntil November 2020instead of the originalsix-month period, August2020.

A Private Fund is also required to submit its auditedaccounts, along with the Fund Annual Return (FAR), toCIMA within six months of each financial year-end.

The Rule: Segregation of Assets – Registered PrivateFunds does not prohibit prime brokerage/custodyarrangements that allow, in accordance withestablished and accepted industry practice, acustodian/sub-custodian to hold all client assets in acommingled client omnibus account along with theassets of other clients.

Will a Private Fund that is in liquidation/being wound-up or that has commenced theliquidation/wind-up process prior to the endof the transition period be required to submita registration application to CIMA?A Private Fund that completes its liquidation/winding-up prior to the end of the transitionperiod will not be required to apply forregistration pursuant to the PFL. Thecompletion of the liquidation/winding-upprocess means that the private fund hasdisposed of all its investments and has madefinal investor distributions.

4

A full list of published PFL and MFL FAQs canbe found here under the respective headings.This webpage will be updated as relatednotices are issued.

Can a mutual fund that operates as amaster fund and meets the definition of a“Master Fund” under the MFL, registerunder section 4(4)(a) of the MFL?

Can a master fund that does not meet thedefinition of a “Master Fund” for thepurposes of the MFL, register as a“mutual fund” under section 4(4)(a) ofthe MFL?

Are the investors in a fund thatwishes to convert from a LimitedInvestor Fund to a RegisteredFund required to meet theminimum initial investmentrequirement of at least CI$80,000(US$100,000)?

Will marketing materials oroffering documents need to besubmitted as part of theapplication process for LimitedInvestor Funds?Does a mutual fund that operates as a

master fund but does not meet thedefinition of a “Master Fund” for thepurposes of the MFL, need to file anoffering document/summary of terms if itis registering under section 4(3)(a)(i) orsection 4(4)(a) of the MFL?

A “Master Fund”, as defined in the MFL, has beenspecifically carved out from the provisions of section4(4)(a) of the MFL.

A “Master Fund”, as defined in the MFL, hasbeen specifically carved out from the provisionsof section 4(4)(a) of the MFL.

Funds that wish to convert from beingregistered under section 4(4) to section 4(3)of the Mutual Funds Law must comply with theminimum initial investment requirement.Accordingly, these funds are required todemonstrate this by providing an affidavitattesting the same. Any investor that initiallyinvested below the minimum initial investmentrequirement must increase their investment orbe redeemed out prior to the fund converting/registering under section 4(3) of the MutualFunds Law, unless the investor’s currentinvestment meets the minimum initialinvestment.

Yes. A copy of the marketing materials,summary of terms or offering document will berequired upon registration.

A master fund that is a “mutual fund” for the purposesof the MFL but does not meet the definition of a “MasterFund” under the MFL and is therefore precluded on thatbasis from registering as a “Master Fund” under section4(3)(a)(iii) of the MFL is able to register as a “mutualfund” under section 4(4)(a) of the MFL, where it meetsthe prescribed criteria.For a funds’ in this situation, CIMA requires thefollowing on application:

• Application Form;• Offering Document/Summary of Terms/Marketing

Material;• Certificate of Incorporation/Registration;• Confirmation that majority of investors have the

power to appoint/remove the operator(s)(Constitutional documents/ resolution/ Offeringdocument etc.);

• Auditor’s letter of consent;• Administrator’s letter of consent (if applicable);

How do I submit a LimitedInvestor Fund and a LimitedInvestor Master Fund registrationapplication?Application forms APP-101-78 and APP-101-79are submitted in excel format toRegistrations@cima.ky

Private Funds & Mutual Funds Laws FAQs cont’d

5

New Staff on Board cont’dMs. Michelle Majid joined as aLearning and DevelopmentSpecialist on 14 April.

Ms. Majid brings over 14 yearsof regulatory experience fromthe Central Bank of Trinidad andTobago where, as a SeniorExaminer, she was involved invarious areas such as banking,insurance, pensions andmacroprudential policy. She alsospearheaded special training anddevelopment activities for staffand was a contributing author toa number of research papers,including other flagshippublications of the Central Bank.

With a keen interest ineducation, Ms. Majid has spent atotal of 20 years delivering

lectures at variousinstitutions in Trinidad andTobago and Scotland.

She holds a Bachelor’sdegree in Mathematics andComputer Science (FirstClass Honours) and aMaster’s degree in Economicsfrom the University of theWest Indies, St. Augustine.In addition to her extensivelist of accolades in highereducation, Ms. Majid is acertified project managementprofessional (PMP) and aCertified Anti-MoneyLaundering Specialist(CAMS).

Ms. Kerry-Ann Salome joined on14 April as a Senior Analyst inthe Banking SupervisionDivision.

She brings a total of 8 years’experience in external audit.Prior to joining CIMA, sheworked at PwC Cayman Islandswhere she served in her mostrecent post as Senior Auditor.She was previously employedwith RBC Bank Jamaica Ltd andErnst and Young Jamaica Ltd.During this time, she led teamsin external audits mainly forbanks, pension funds,

distributors, manufacturers andinvestment funds.

Ms. Salome holds a Bachelor’sDegree in Management Studieswith a major in Accounting(First Class Honors) from theUniversity of the West Indiesand a Master’s Degree inAccounting (Distinction) fromthe University of the WestIndies. She is also a CertifiedPublic Accountant, aqualification which she earnedin New Hampshire.

STAY INFORMED

Additional AML/CFT online training videos are now available onour website. See the ‘Public Education - Regulated Sectors’ tab

www.cima.ky

6

New Staff on Board cont’dMs. Elizabeth “Liz” Sharples joinsas a Chief Analyst in theSecurities Supervision Division.

She attended school in the Isleof Man and having obtained hercombined honours degree inComputer Science and BusinessAdministration at the Universityof Aston in Birmingham shequalified as a fellow of theInstitute of CharteredAccountants in England & Wales.

Ms. Sharples brings with herover 30 years’ experience withinthe investment and global fundsindustry. This experience

includes the establishment,corporate governance andoperational aspects of bothregulated and unregulatedcollective investment vehicles.She has also represented theprivate sector on governmentconsultations and workinggroups and in 2003, she held theChair of the Isle of Man fundindustry’s trade association.

Ms. Sharples moved to GrandCayman two years ago to assistwith the profile-raising andintegration of the Cayman-basedfund administration, acquired byher previous employer.

Ms. Kendra Parchment joined on16 June as an Analyst in theInvestments Supervision Division.

Prior to CIMA, she worked atHedgeServ in the InvestorServices Department and waspreviously employed withWalkers.

With a keen interest in thecompliance arena, Ms. Parchmenthas become inspired to obtain acertification as an Anti-MoneyLaundering Specialist (CAMS)

among other related certificateswithin the financial services field.

In the near future, she also plansto pursue a tertiary education incriminology.

Mr. Kioko Muasya joins as DeputyHead of Internal Audit, effective15 June.

He has 15 years' experience inboth internal and external audithaving been employed with KPMGCayman Islands, Ernst & YoungEast Africa, Cayman IslandsGovernment Internal Audit Unit,and most recently, Dart Caymanas a Senior Manager of InternalAudit. In this post, he performedand supervised the execution offinancial, performance,compliance and other audits over

Dart's investment, retail, realestate, and hospitalitybusinesses, both locally andabroad.

Mr. Muasya holds a Master’sDegree in Real Estate from theUniversity of Cambridge and aBachelor’s Degree in Commerce(Finance) from the University ofNairobi. He is also a CertifiedInternal Auditor and a CertifiedPublic Accountant.

7

Andrew WaltonAnalyst II, BankingSupervision Division

Andrew BloomfieldAnalyst II, Investments

Supervision Division

Angeline MandersonIT Support Assistant,Information Systems

Division

Alexis BoddenSenior Analyst II,

Investments SupervisionDivision

Dominique LloydDeputy Head,

Currency Division

Emille SmallChief Analyst,

Onsite Inspection Unit

George KamauDeputy Head, Insurance

Supervision Division

James TweedieAnalyst II, BankingSupervision Division

Juanita EbanksAnalyst II, Investments

Supervision Division

Justin RankinSenior Analyst I,

Investments SupervisionDivision

Karen Rhoden-MillsSenior Analyst II, Banking

Supervision Division

Katya HinesAnalyst II, BankingSupervision Division

Ava MarzoucaSenior Analyst I, Fiduciary

Services Division

Jeffrey ScottAnalyst II, InvestmentsSupervision Division

Paul OnsakiaChief Analyst, BankingSupervision Division

Shameela TibbettsSenior Analyst I,

Investments SupervisionDivision

Bridget MillerSenior Currency Officer,

Currency Division

Joy-Ann DomingoChief Analyst, Insurance

Supervision Division

Paula BrooksSenior Analyst I,

Investments SupervisionDivision

Shanaz WhittakerSenior Analyst I,

Investments SupervisionDivision

Dane CampbellAnalyst II, Investments

Supervision Division

Jonelle EbanksAnalyst II, Fiduciary

Services Division

Rebekah AnglinAnalyst II, Investments

Supervision Division

Shenique Dixon-LodgeAnalyst II, Investments

Supervision Division

Reshma SeeramAnalyst II, BankingSupervision Division

Robert HinckleySenior Systems

Programmer, InformationSystems Division

Satina StollAnalyst II, Investments

Supervision Division

Sauyuri FonsekaChief Analyst, Fiduciary

Services Division

Taj-Djuet BerrySenior Analyst II,

Investments SupervisionDivision

Tyana WaltonSenior Analyst I,

Investments SupervisionDivision

Vanessa BushChief Analyst,

Onsite Inspection Unit

Wirimayri MukarakateChief Analyst, Compliance

Division

CONGRATS2020 STAFF

PROMOTIONSJanuary - June 2020

New Staff on Board cont’dMrs. Kavita Maharaj-Alexanderjoined CIMA on 7 July 2020 as aChief Policy and DevelopmentOfficer in the Policy andDevelopment Division.

Mrs. Maharaj-Alexander holds aBachelor of Laws Degree (LL.B)from the University of WestIndies, Cavehill and a Master ofLaws Degree (LL.M) inCommercial and Corporate Lawfrom Queen Mary, University ofLondon. She is a qualifiedAttorney-at-Law.

Mrs. Maharaj-Alexander startedher career at a private law firmbefore joining the Legal

Department at the Central Bankof Trinidad and Tobago where sherose through the ranks to theposition of Senior Legal Counsel.Among other things, during hertenure at Central Bank, sheadvised on numerous mattersrelevant to the supervision offinancial entities andintermediaries, the resolution ofa systemically important insurerand contributed to severalstrategic projects involving thepreparation of policy documentsfor the issuance of regulations,ministerial orders and/oramendments to the law or theenactment of new law.

8

QUARTERLY STATISTICS

NUMBER OF ENTITIES LICENSED/REGISTERED & CURRENCYIN CIRCULATION AS OF 30 JUNE 2020

BANKING & TRUST

Banks 123

Category A 9

Category B 114

Nominee Trust 20

Controlled Subsidiaries 7

Money Service Provider 5

Building Societies,CooperativeSocieties, DevelopmentBanks

4

FIDUCIARY SERVICES

Trust Companies 147

Unrestricted Trust 58

Restricted Trust 59

Nominee Trust 30

Registered Private Trust Companies 142

Registered Controlled Subsidiaries ofTrust Companies 46

Companies Management 122

Corporate Service Providers 25

INSURANCE

Insurance Companies 679

Class A 27

Class B 622

Class C 24

Class D 5

Insurance Managers 25

Insurance Brokers 23

Insurance Agents 48

INVESTMENTMutual Funds 10,709

Registered 7,535

Master Funds 2,832

Administered 281

Limited Investor Funds 39

Licensed 61

Private Funds 1,286

Mutual Fund Administrators 76

Full 67

Restricted 8

Exempted 1

SECURITIESSecurities Investment Business Law(SIBL) Licensees 34

Excluded Persons Under SIBL 1,495

CURRENCY IN CIRCULATIONTotal Currency CI$ 155.4m

Notes CI$ 142.3m

Coins CI$ 13.1m

CI$1.00 = US$1.20; m = million

9

JOIN OUR SUBSCRIPTION LIST

To receive the latest content updates to our website, click the‘RSS Subscribe’ link located on select pages at

www.cima.ky

Mr. Amos Beni joined CIMA on 17June as a Senior Analyst(Supervision) in the AML/CFTDivision.

He holds a Masters degree inBusiness Administration fromHeriot-Watt University and aBachelor of Science degree inBusiness Statistics fromMakerere University in Uganda.

He is also a Fellow of theAssociation of Chartered CertifiedAccountants, a Certified InternalAuditor and a member of the

Chartered ProfessionalAccountants Canada.

Mr. Benji brings over eight yearsexternal audit experience, mainlyin the insurance, investments andbanking sectors. He waspreviously employed with KPMGEast Africa (Uganda), Deloitte(Barbados) and PwC (Cayman).

New Staff on Board cont’d

Ms. Priscilla Amal joined our teamas a Chief Analyst in the BankingSupervision Division on 22 June2020.

Ms. Amal is a Chartered CertifiedAccountant with over sevenyears’ experience in audit,accountancy and taxationservices. She worked with Ernst& Young Uganda and DeloitteEast Africa before joining Ernst &Young United Kingdom –Financial Services Office, whereshe was involved in audits withinthe banking, insurance andwealth and asset managementsectors. In this capacity, herduties involved building, leadingand training audit teams to meetclient requirements and

framework of the firm’s qualityand risk management systems.

She is currently pursuing aMaster’s degree in BusinessAdministration at ImperialCollege London. She holds aBachelor’s degree in Catering andHotel Management (1st Classhonours) from MakerereUniversity and an AdvancedDiploma in Accounting andBusiness.

Ms. Amal is a member of theAssociation of Chartered CertifiedAccountants (ACCA) and theGuernsey Society of Charteredand Certified Accountants(GSCCA).