Friday, May 07, 2010Securities & Investment Business Act Introduced

BVI FSCSIBA & Mutual Funds Regulations Officially Enacted & Gazetted

The Financial Services Commission today confirmed that the newly enacted Securities and Investment Business Act, 2010 (“SIBA”)) will come into force on Monday, 17 May, 2010. The recent enactment off SIBA and the corresponding Mutual Funds Regulations, 2010 and other subsidiary legislation mark a significant step forward for investment business in the British Virgin Islands.

The official proclamation by the Governor off the coming into force of SIBA was published in the 29 April 2010 edition of the Virgin Islands Official Gazette. The Mutual Funds Regulations, 2010 and the Financial Services Commission (Securities and Investment Business Fees) Regulations, 2010 were also published in the 29 April 20010 edition of the Virgin Islands Official Gazette and take effect on the same day as SIIBA.

The Commission recognizes that the effective date for SIBA and the related Regulations is relatively close to legislative enactment and this may prompt compliance questions from the industry. Transitional provisions that will assist the industry with understanding and complying with the new legislation are provided in Schedule 8 of SIBA and the Schedule of the Mutual Funds Regulations. The Commission urges all to become familiar with the provisions of the new legislation to aid a smooth transition process.

The Commission has committed additional resources to effectively administer the new legislation and field questions regarding the effects on existing investment business. Full versions of SIBA, Mutual Funds Regulations and Financial Services (Securities and Investment Business Fees) Regulations can be found at www.bvifsc.vg. If questions should arise regarding any of these enactments, please contact the Investment Business Division of the Commission using SIBA@bvifsc.vg.

About the British Virgin Islands Financial Services Commission

The BVI Financial Services Commission is an autonomous regulatory agency responsible for the regulation and supervision of financial services conducted in and from within the Territory. The Registry of Corporate Affairs is a division within the BVI Financial Services Commission that administers the BVI Business Companies Act.

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