The main difference with the WLF is that we work in partnership with select, expert fund and asset managers, sharing the costs and branding but otherwise the benefits to our joint venture partners in terms of an off-the-shelf fund hosting service are identical.
Fund managers use our Gibraltar regulated fund listing service and promote it to investors using their own brand name. They benefit from hassle-free, turnkey fund solutions where we manage all the structuring, regulation and back-office operations. This leaves the fund manager to focus on their core areas of expertise: investment management, asset allocation and distribution.
RRFM will soon be launching its own, Red Ribbon branded Indian Equities Fund which will offer best-in-class India-based fund managers selected for their sectoral expertise. It will be offered as a Luxembourg-listed, UCITS V retail product providing daily liquidity.
This is where a fund manager appoints a hosting provider, such as RRFM, to provide all the structuring regulatory, operational support for the launch and through the life of a listed fund. This leaves the investment manager to concentrate on its core competencies of investment management, asset allocation and distribution.
A listing on a regulated stock exchange like the Gibraltar Stock Exchange provides a higher level of investor visibility and increases the potential demand and interest in a fund. Many institutional investors, financial advisers (IFAs) and platforms require all their investments to be made in securities with an assigned ISIN that are listed on a Recognised Exchange or a Multilateral Trading Facility such as GSX.
Gibraltar is a British Overseas Territory with English Common Law as its legal system. It passed a new Financial Services Act in 2019, which increased its already close alignment with the UK’s FSMA financial promotion regime. This created a mini-single market between the two jurisdictions giving current passporting rights from Gibraltar to the UK, making it the only territory on mainland Europe with unfettered access to the UK.
Gibraltar’s regulator, the Financial Services Commission, has built a reputation based on the agility and accessibility of its regulatory apparatus. It is closely aligned to the FCA in its approach to authorisation, supervision and enforcement, in particular in relation to listings on GSX – the Gibraltar Stock Exchange.
GSX is the Gibraltar Stock Exchange which was established in 2014. It offers a technical listing to funds and bonds, which means there is no secondary market or liquidity for investors. Nevertheless, as a Recognised Exchange or Multilateral Trading Facility, there is no limitation on investors investing in instruments listed on GSX. As such, it represents an efficient
We offer a fast-to-market hosting service to launch a regulated and listed fund in 10 weeks on a fixed fee basis, starting at £25,000. Over several years our experienced team has been honed to provide an efficient service taking advantage of the agile regulatory environment and the economies of scale of our operations team. We are able to leverage the established relationships and processes with our lawyers, with GFSC and GSX, while liaising with 3rd party service providers such as administrators and listing member firms on our fund clients’ behalf.
Red Ribbon Fund Management’s fund hosting platform delivers a fully regulated fund listed on the Main Market of the Gibraltar Stock Exchange – GSX – in 10 weeks.
No, because our clients take advantage of RRFM’s own regulated licence in Gibraltar. We hold what is known as Part 7 permission under the Gibraltar Financial Services Act 2019 to act as a Small Scheme Manager of alternative investment funds. Under this RRFM is able to make its fund hosting platform service available for asset manager clients who wish to offer alternative fund investment strategies to investors.
Asset managers retain their distribution channels to communicate with investors. They continue to be responsible for explaining their asset management strategies to purchasers of their funds and providing regular performance reports.
A listing on the Gibraltar Stock Exchange’s Main Market means that funds can be what is known as “passported” into the UK. Gibraltar’s financial promotion legislation covering the offering of funds to experienced investors is deemed to be equivalent to the UK FCA’s regulatory infrastructure. As such, there is in effect a mini-Single Market between the UK and Gibraltar which means that the territory is the only jurisdiction on Mainland Europe that offers unfettered access to the UK market.
No; RRFM provides a listing platform that allows funds to be brought to market on the Gibraltar Stock Exchange so as to attract a wider audience – in the form of both experienced and institutional investors. A fund that lists on GSX receives an ISIN which means that the fund can be invested in by investors such as pension funds who would otherwise be unable to buy such funds. However, a GSX listing is otherwise only a technical one in that there are no secondary market prices or liquidity for the fund investors.
The RRFM hosting platform delivers listed and regulated funds that meet the full requirements of Gibraltar’s regulator, the Gibraltar Financial Services Commission and the listing rules of GSX – the Gibraltar Stock Exchange. RRFM’s responsibilities include liaising with our retained Gibraltar legal advisers, Triay Lawyers, to structure the fund. Under our regulatory responsibilities, we have appointed two Experienced Investor Fund (EIF) Directors who have a fiduciary responsibility to for the Offering Document & Listing Particulars (i.e. the prospectus). They are required to ensure that this is drafted in accordance with the Prospectus Regulations that govern financial promotion and the Alternative Investment Fund Manager (AIFM) fiduciary rules that govern RRFM’s licence permissions and fund hosting service.