Mutual Funds 

Audited Financial Statements and Fund Annual Return 

The Fund Annual Return (FAR) Form version 4.0 (FAR-016-22-04) and updated Completion Guide (see below) were issued on 27 November 2020. FAR Form 4.0 is an updated version and will replace FAR Form version 3.0 (FAR-016-22-03) which was released on 14 June 2016.  

Various sections of FAR Form 4.0 has been updated to collect additional information and data as outlined in the Mutual Funds (Annual Returns) (Amendment) Regulations, 2020. The relevant sections of the Completion Guide have also been updated to clarify the reporting requirements under those sections.  

FAR Form 4.0 is required to be completed and submitted for funds with a financial year-end of 30 June 2020 or later. 

FAR Form 3.0 is to be used for funds with a financial year-end prior to 30 June 2020. 

All FAR Forms are available  here.

Reporting Documents 

All funds regulated under the Cayman Islands’ Mutual Funds Act (as revised) (the "MFA") must submit, to CIMA, the following documents covering the fund’s financial year, within six months of the fund’s financial year-end:

• Audited annual accounts (audited financial statements or AFS) as required by Section 8(2) of the MFA.
• The FAR Form is the official form which fund operators use to provide general, operating and financial information on the fund. The submission of an annual return is a requirement of the Mutual Funds (Annual Returns) Regulations, which also requires payment of a fee to file a FAR. The fee becomes due at the time of submission. 

These documents must be submitted electronically through CIMA’s electronic reporting system as explained below.

E-Reporting and REEFS for Regulated Mutual Funds   

To make it easier for mutual fund operators to meet the annual return submission requirements, CIMA implemented the FAR Form that operators fill out, as well as electronic reporting systems through which the FAR and audited annual financial statements are submitted. There are two systems running concurrently at present, the old system, E-Reporting, and the new system, Regulatory Enhanced Electronic Forms Submission ("REEFS").

Fund Annual Return (FAR)

The latest mutual fund FAR Form is available  here.  

Who Completes and Files the FAR  

The fund operator is responsible for ensuring the FAR is filled out accurately and completely, and submitted to CIMA.

The local auditor for each fund (CIMA-approved Cayman Islands audit firms) is responsible for submitting the FAR to CIMA, through either the E-reporting or REEFS systems, depending on the fund’s year-end.   

Completion Guide & Guidance Notes

• The Completion Guide for the New Mutual Fund Annual Return  explains how to complete the FAR Form 4.0 which is to be used for filings in REEFS for regulated funds with a year-end date of 30 June 2020 and later.
• The  Completion Guide for the Mutual Fund Annual Return explains how to complete the FAR which is to be used for filings in REEFS for regulated funds with a year-end date of 15 September 2015 and later but prior to 30 June 2020.
• The  Guidance Notes and Directions to Completing the Fund Annual Return explains how to complete the FAR that is used in E-Reporting. Comment boxes have been inserted in the FAR for the REEFS filings within each field on the Excel FAR form, to assist with the completion of the form.   
• Instructions for local auditors on how to file the FAR and the fund's annual account can be found in:
  1. New Auditor Guidance on Filing Audited Accounts and Annual Returns for Regulated Funds
  2. Auditor Guidance on Filing Audited Accounts and Annual Returns for Regulated Funds

If you require further information regarding mutual fund FAR filings, please contact the Investments Supervision Division. 

Private Funds

Audited Financial Statements and Fund Annual Return

The Fund Annual Return (“FAR”) form for Private Funds and related Completion Guide (see below) were released on 9 July 2021. The audited financial accounts and FAR for Private Funds are completed and submitted via the REEFS system.  

Reporting Documents 

All funds regulated under the Private Funds Act (as revised) (the “PFA”) must submit, to CIMA, the following documents covering the fund’s financial year, within six months of the fund’s financial year-end:

• Audited annual accounts (audited financial statements or AFS) as required by Section 13(4) of the PFA.
• Private Fund FAR form, duly completed and submitted via REEFS. For financial year-ends up to 30 November 2021, form PFR-49-77 is required to be completed, and for all year-ends thereafter (i.e. 31 December 2021 and onwards), form PFR-049-77-02 is required to be completed. Form PFR-049-77-02 is an updated version of the private fund FAR form that combines the initial version of form (PFR-049-77) and the Related Fund Entity form (form RFE-050-77 - see below). The form captures general, operating and financial information of the private fund as well operating and financial information for any applicable alternative investment vehicle(s) and sub-fund(s) of the private fund.The submission of an annual return is a requirement of the Private Funds (Annual Returns) Regulations, which also requires payment of a fee to submit the FAR. The fee becomes due at the time of submission. 
• Declaration (see sample here) completed by the operator pursuant to Section 42 of the Private Funds (Annual Returns) Regulations confirming that the private fund has complied with Sections 16, 17 and 18 of the PFA.

• Related Fund Entity form (RFE-050-77), duly completed and submitted via REEFS. This form is only required to be filed for financial year-ends up to 30 November 2021. It does not require completion and filing for subsequent year-ends (i.e. 31 December 2021 and onwards) as it has been incorporated in the updated version of the private fund FAR form (form PFR-049-77-02).

The above must be submitted electronically through REEFS as explained below.

Fund Annual Return (FAR)

The private fund FAR is submitted through REEFS using form PFR-049-77 or PFR-049-77-02. Please refer to comments here for obtaining a downloadable Excel version of the private fund FAR form from designated submitters.

Who Completes and Files the FAR  

Operators of all funds regulated under the PFA are responsible for ensuring the FAR is duly completed and submitted to CIMA.

Operators may delegate the submission of the FAR to a local Cayman Islands service provider (“designated submitter”), including CIMA-approved Cayman Islands audit firms. However, operators remain legally responsible for the accuracy and completeness of the FAR submitted. The designated submitter is responsible for submitting the FAR and other required documents to CIMA through REEFS.

Completion Guide

The Completion Guide explains how to complete the Private Fund FAR form that is to be used for filings in REEFS for private funds:

• The Completion Guide for the Private Fund Annual Return for use with form PFR-049-77 (for year-ends up to 30 November 2021)
• The Completion Guide for the Private Fund Annual Return for use with form PFR-049-77-02 (for year-ends of 31 December 2021 and beyond)

Related Fund Entity form (RFE Form)

While the private fund FAR substantially captures the reporting requirements of private funds pursuant to the Private Funds (Annual Returns) Regulations, 2021 (“Regulations”), the Regulations also require that certain information is reported regarding private funds’ related fund entities. The purpose of the RFE Form is to facilitate the reporting of such information. The Completion Guidance  explains how to complete the RFE Form (RFE-050-77). Consistent with the approach for the private fund FAR form, the RFE Form is to be submitted by a designated submitter and a downloadable Excel version of the RFE Form is available via the same method as noted above for the private fund FAR form. In addition, a blank version of the downloadable Excel form has been made available here. It must be noted however that the RFE Form is only required for financial year-end filings up to 30 November 2021. Financial year-ends of 31 December 2021 and beyond requires utilization of the updated private fund FAR form (PFR-049-77-02) which combined the initial private fund FAR form and RFE Form, and therefore does not require the filing of a RFE Form.

If you require further information regarding private fund FAR filings, please contact the Investments Supervision Division.

Waivers/Exemptions & Extensions

In certain circumstances, fund operators may apply to CIMA for a waiver/exemption of the filing requirement or for an extension of the deadline by which the documents must be filed.

Submitting Requests

All waiver/exemption requests (for both mutual and private fnds), as well as private fund filing extension requests, must be submitted in writing to CIMA via email. 

Requests for mutual fund extensions must be submitted via the REEFS system by using form FXT-162-22.

CIMA will review the request for an extension, in line with its ‘Procedure for the Granting of Extensions for the Filing of Supervisory Reports’ (See Regulatory Handbook Appendices, section F2) and for a waiver/exemption, in line with the Audit Waiver Policy. In relation to audit waivers for funds that are terminating, CIMA will make a determination as to whether an affidavit, liquidators report or procedures will suffice in place of the audit. CIMA will inform the operator of its decision in writing.

Fee for Waivers/Exemptions or Extensions

As of 13 December 2012, CIMA charges a non-refundable administrative fee for each waiver/exemption or extension request. For further information, refer to Investment Funds Fees for a current Fee Schedule, which lists all fees that CIMA collects.

Reporting Schedule

See the current reporting schedule for prudential and statistical returns for all CIMA-regulated entities.

Other Data Collection

The Coordinated Portfolio Investment Survey (Form CPIS) collects information on investment holdings, by banks and mutual funds domiciled in the Cayman Islands, in equity, short-term debt and long-term debt securities issued by unrelated non-residents as at 31 December 2004. The Cayman Islands Monetary Authority is conducting this survey in coordination with the International Monetary Fund (IMF) to facilitate international data comparability. The information provided will remain fully confidential to the Monetary Authority, only aggregated details will be submitted to the IMF. Cayman’s participation in the CPIS will contribute to an improved understanding of Cayman’s international financial centre and its impact on global financial intermediation. It will enable the Cayman Islands to emphasize its positive role in facilitating the free flow of cross-border investments.