Interest in Variable Capital Company (“VCC”) funds continues to grow. Many investors and fund managers are attracted by the risk management benefits they offer, reduced compliance costs and their flexibility, meaning they can be used as a structure to suit many different fund strategies, investor classes and asset classes.
To provide further insights on that, our team has created an information sheet that covers some of the use cases that VCC funds can offer asset managers, institutional investors, family offices and businesses.
What are VCC funds?
A VCC fund is a corporate structure for investment funds that provides a flexible investment vehicle for asset managers, family offices, institutional investors and businesses alike.
VCCs can be structured as a standalone fund or an umbrella entity, under which multiple ring-fenced sub-funds can be maintained that segregate assets and liabliities. This flexibility extends to the strategies they may follow, which includes being either close-ended (private equity or venture capital) or open-ended (mutual or hedge funds).
Fund managers can incorporate new VCCs or re-domicile their existing overseas investment funds with comparable structures by transferring their registration to Singapore or Mauritius as VCC funds.
Some of examples of use cases
- Providing flexibility to private equity and venture capital funds
- Segregating assets for family offices according to beneficiaries
- An efficient structure for buying and selling mutual fund assets
- Managing capital inflows and outflows for hedge fund
- Structuring and ring-fencing different real estate assets
- Administering different infrastructure funds
- Categorizing renewable energy funds
- Providing economies of scale for private funds
To find out more, download our information document here
How can Amicorp help?
Amicorp is one of a few providers to hold Variable Capital Company fund licenses in both Singapore and Mauritius, ensuring that our service offering not only covers the entire VCC environment, but also offers additional layers of choice to meet different needs.
To find out more about structuring solutions to suit your investment strategies, please contact the team here
Related News
Amicorp expands its regulatory footprint in the UAE
Amicorp Fund Services (DIFC) Limited has been granted a Category 4 license by the Dubai Financial Services Authority (DFSA) to provide Fund Administration services within the Dubai International Financial Centre (DIFC).
Dubai’s ICC – A Multi-strategy Funds Platform With Legal Segregation and Speed
Naman Goel, Executive Director, Amicorp Capital (DIFC) Limited, shares his views on why the Incorporate Cell Company structure is a game-changer for investors looking for operational efficiency, structural flexibility and/or a robust way of segregating assets and liabilities.
Introducing the Amicorp Dividend Comparison Calculator
Dividend withholding tax (WHT) varies widely by jurisdiction and is influenced by where the Ultimate Beneficial Owner (UBO) is based, as well as the structures used to hold the investment.