Class 3 – Services to Collective Investment Schemes
Services to Collective Investment Schemes ("funds")
A licence to carry on the Class 3 regulated activity of providing services to funds permits a business operating in or from the Isle of Man (within certain criteria and with specified exclusions) to provide one or more services to different types of funds from the following list:
- manager to certain funds
- administrator to certain funds
- asset manager to certain funds
- investment adviser to certain funds
- trustee or fiduciary custodian to certain funds
- custodian to certain funds
- promoter of a fund which requires a regulated promoter
- management and administration services to an Isle of Man manager, administrator, asset manager or investment adviser
- outsourced functions on behalf of an overseas manger or administrator of funds
- specified services to a Recognised Scheme
Full details of regulated activities, exclusions and exemptions from licensing may be found in the Services to Collective Investment Schemes handbook. A licenceholder under the Financial Services Act 2008 is obliged to comply with any licence conditions that have been imposed by the Isle of Man Financial Services Authority ("the Authority") and which are shown on the licence.
The Services to Collective Investment Schemes handbook also contains links to other legislation relating to licenceholders, including the Financial Services Rule Book which contains the detailed rules to be complied with by all licenceholders. Guidance on rules and on other regulatory matters may also be found in the handbook. Legislation and guidance applicable to funds is contained in the Funds section of the Authority's website.
The Authority’s Licensing Policy for Regulated Activities under the Financial Services Act 2008 (“licensing policy”) provides guidance for licenceholders. The Supplemental Licensing Policy for Class 3 and the Graduated Manager Licensing Process are also relevant to Class 3 Licence Applicants.
A licenceholder and its key staff are required to be fit and proper persons. The Authority's licensing policy is to apply a test of fitness and propriety in the key areas of integrity, competence and solvency.
Licenceholders should also note the requirements of anti-money laundering and countering the financing of terrorism legislation and handbook.