We’re pleased to share our contribution in the Investor’s Mag latest edition. The ability to bridge gaps and foster connections, can be the difference between success and stagnation. This philosophy is at the heart of Lima Capital’s mission. Specialising in fund structuring, Lima Capital takes on the complexities of fund management and operations, enabling fund managers to focus on making quality investment decisions. Through innovative solutions and a global reach, Lima Capital supports a diverse range of asset classes, including hedge funds, private equity, venture capital, and alternative assets.
As a regulated Investment Advisor and Collective Investment Scheme (CIS) Manager, Lima Capital LLC adheres to stringent regulatory standards, ensuring the highest levels of integrity and transparency in all our operations. With established businesses in Singapore and Mauritius, we are strategically positioned to offer our clients unparalleled access to key markets. Our approach is designed to be flexible and adaptable, ensuring that fund managers have the tools and support they need to navigate the ever-evolving financial landscape. With over $806 million in assets under management (AUM) and advice, Lima Capital stands as a trusted and established platform in the industry.
The importance of fund structuring in investment management
The overarching objective for any fund manager is to maximise investors’ return on investment. However, without effective structuring, returns can be significantly diminished, affecting the overall success of the fund. An efficient fund structure should minimise tax leakages and regulatory risks at all levels—from the main fund vehicle to the portfolio entity holding the investment.
Effective fund structuring provides a solid foundation for regulatory compliance, tax efficiency, and operational scalability. By selecting appropriate jurisdictions and adhering to legal frameworks, fund managers can better meet investor expectations and navigate complexities. Lima Capital exemplifies these principles, enabling clients to focus on quality investment decisions and sustainable growth.
Lima Capital’s Unique Fund Structuring Strategy and Its Benefits
Lima Capital’s approach to fund structuring offers unparalleled advantages to fund managers and investors. By focusing on regulatory compliance and operational scalability, we ensure robust and adaptable fund structures. This strategy involves selecting optimal jurisdictions, leveraging legal benefits, and implementing strong governance practices. Michael Haynes, Managing Director emphasises, “Our mission is to simplify fund management complexities so fund managers can focus on quality investment decisions.”
Lima Capital offers comprehensive services, including:
- Preliminary evaluation of investment strategy and business considerations
- Defining fund structure with legal and compliance support
- Creation of monthly factsheets to provide comprehensive fund performance and information to investors
- Ongoing consultation and support
- Handling investor subscriptions, redemptions, and capital calls
- Fund administration, including accounting, NAV calculation, and shareholder reporting
- Facilitating annual audits through strategic audit partner relationships
- These offerings not only minimise risks and tax liabilities but also ensure smooth fund operations and growth, enabling sustainable success for clients worldwide.
Highlighting Successful Fund Structuring by Lima Capital
A prominent insurance company, listed in South Africa aimed to optimise the fees, operational processes and enhance the corporate governance of its CIS domiciled in Jersey. With initial AUM of $65 million, the company sought collaboration to propel its fund’s growth while adhering to legal, regulatory, and compliance framework.
Lima Capital LLC evaluated the investment strategy, designed an optimal fund structure, and recommended transitioning to Mauritius for enhanced operational efficiency. This move allowed BlackRock to serve as the asset allocation advisor, with Lima Capital as the sub-advisors. Lima Capital ensured legal and regulatory considerations were met during the transition and establishing transparent performance reporting for its investors. The result was a significant improvement in operational efficiency, with the fund now with AUM in excess of $446.
The future of fund structuring and Lima Capital’s commitment to excellence
As the financial landscape continues to evolve, the importance of innovative and adaptable fund structuring cannot be overstated. Lima Capital is committed to staying at the forefront of these developments, continually refining our strategies to meet the changing needs of our clients and the market. Our dedication to excellence is reflected in our bespoke solutions, comprehensive services, and proactive approach to regulatory compliance and risk management. With over $806 million in AUM, our track record speaks to our capability and reliability. We look forward to building on this success, ensuring that our clients are well-equipped to navigate the complexities of fund management and achieve their investment objectives.
Brendan Gallagher, Founder and Advisor, emphasizes, “Our vision for Lima Capital is to continue pioneering innovative fund structuring solutions that not only meet the current demands but also anticipate the future needs of the investment community. We are committed to providing our clients with the highest level of service and expertise, ensuring they are always a step ahead in the ever-changing financial landscape.”
