The Isle of Man Financial Services Authority has unveiled what it is calling a “Draft Guidance Note” on how collective investment schemes should best be regulated in the jurisdiction, in what is understood to be a response some recent investment scheme failures that have left some investors out-of-pocket.
The 32-page long document, entitled Draft Guidance Note – Governance of Collective Investment Schemes, invites comments from industry participants no later than 14 July, although it notes that comments “may not result in a change to the proposals” under consideration.
A “Feedback Statement” will be published within three months of the ending of the comment period, the document states.
The IoM MFA says in an introduction to the Guidance Note that it has been developed “with reference to guidance issued by other jurisdictions and the Authority’s [own] experience in supervising the Isle of Man’s funds sector”.
It says its three main objectives, as it sets out to improve the Isle of Man’s collective investments regulatory regime, are the securing of “an appropriate degree of protection for policyholders, members of retirement benefit schemes and the customers of persons carrying on a regulated activity”; “the reduction of financial crime”, and “the maintenance of confidence in the island’s financial services, insurance and pensions industries, through effective regulation, thereby supporting the island’s economy and its development as an international financial centre”.
To read and download the Draft Guidance Note, click here.