Frequently Asked Questions: Investment Funds

Everything fund managers and investors need to know about establishing and administering investment funds in Gibraltar — from structure selection through ongoing regulation, reporting, and costs.

• What types of investment fund can be established in Gibraltar?

  Gibraltar offers two primary regulated fund structures: the Experienced Investor Fund (EIF) and the Private Fund. The EIF is a fully regulated collective investment scheme available to experienced investors, regulated by the GFSC under the Financial Services (Experienced Investor Fund) Regulations. The Private Fund is available for up to 50 offers and has a lighter-touch regulatory regime with faster setup.

• What is an Experienced Investor Fund (EIF)?

  An EIF is Gibraltar's flagship regulated fund structure for professional and sophisticated investors. It requires GFSC authorisation, a licensed fund administrator (such as Resilience Group), two regulated EIF directors and an independent auditor. EIFs can be structured as companies, protected cell companies, limited partnerships, or unit trusts, and can pursue any investment strategy including equities, real assets, crypto assets, and alternatives.

• What is a Gibraltar Private Fund?

  A Private Fund is a lighter-regulated fund vehicle that can be offered up to 50 times, typically used for club deals, family investment vehicles, and small alternative funds. Private Funds must be registered with the GFSC but do not require full authorisation, and the regulatory requirements are simpler and less costly than for an EIF.

• How long does it take to set up a Gibraltar fund?

  A fund can typically be registered and operational within 4–8 weeks. EIFs can benefit from a post-launch regulatory application process, meaning there is no downtime waiting for regulatory approval.

• Does a Gibraltar fund need a licensed administrator?

  Yes. Both EIFs and Private Funds must appoint a Gibraltar-licensed fund administrator. The administrator is responsible for NAV calculation, investor register maintenance, AML and KYC on investors, regulatory reporting, and financial statements. Resilience Group is licensed by the GFSC as a fund administrator and provides these services for a range of fund types and strategies.

• What GFSC licensing does the fund manager need?

  The investment manager of a Gibraltar fund must hold a GFSC licence under the Financial Services (Investment and Fiduciary Services) Act, or qualify as a Small AIFM. Managers with EEA or FCA authorisation may be able to manage Gibraltar funds under certain arrangements, though this requires GFSC review on a case-by-case basis. Managers operating below the Small AIFM thresholds have a simplified registration pathway.

  Many funds are structured by way of an Investment Director who acts on the board and therefore does not require separate licensing.

• Can Gibraltar funds invest in crypto assets?

  Yes. Gibraltar was one of the first jurisdictions to regulate distributed ledger technology (DLT) businesses and is an established hub for digital asset funds. EIFs and Private Funds can invest in cryptocurrencies, tokens, and other digital assets. The fund's offering memorandum must clearly describe the digital asset investment strategy and associated risks, and the administrator must have appropriate systems for valuing and recording digital asset holdings.

• How is NAV calculated for a Gibraltar fund?

  The fund administrator calculates net asset value (NAV) in accordance with the valuation policy set out in the fund's constitutional documents and offering memorandum. For liquid strategies, NAV is typically calculated monthly or quarterly using market prices. For illiquid assets, the valuation policy must specify the methodology (e.g. cost, third-party appraisal, director valuation). Resilience Group's fund administration team performs all NAV calculations and provides investor statements following each NAV point.

• How are investors onboarded to a Gibraltar fund?

  Investors are onboarded via a subscription agreement process. The fund administrator collects and verifies KYC documentation — certified ID, proof of address, source of funds and source of wealth evidence — for each investor before accepting their subscription. For corporate investors, beneficial ownership must be traced to natural persons.

• What AML obligations apply to a Gibraltar fund?

  Gibraltar EIFs are subject to the Proceeds of Crime Act 2015 and the associated AML/CFT regulations. The fund must appoint a regulated MLRO, which is often performed by one of the regulated EIF directors. The fund must perform a business-wide risk assessment of AML/CTF/CPF risks and risk-score all investors. Enhanced due diligence is required for PEPs, investors from high-risk jurisdictions, and complex structures.

  We assist with designing the fund's policies and procedures, conducting risk-based due diligence on all investors, screening against sanctions lists, investment-level due diligence, training and reporting.

• Do Gibraltar funds need to report under CRS and FATCA?

  Yes. Gibraltar funds that qualify as financial institutions under FATCA and CRS must register with the Gibraltar Income Tax Office and submit annual reports disclosing investor account information to the relevant tax authorities. The fund administrator manages this reporting as part of the administration service. FATCA applies to US persons, while CRS applies to investors resident in participating jurisdictions — which includes most OECD countries.

• Does a Gibraltar fund need an auditor?

  Yes. EIFs must appoint an independent auditor approved by the GFSC, and annual audited financial statements must be filed with the GFSC and provided to investors. Private Funds are not required to undertake an audit but must appoint a regulated administrator (such as Resilience Group). The auditor must be independent of both the fund manager and the administrator, and must be registered as an auditor in Gibraltar.

• What is a fund of funds and can it be structured in Gibraltar?

  A fund of funds (FoF) invests in other funds rather than directly in underlying assets. Gibraltar EIFs can be structured as funds of funds, investing in a portfolio of third-party or affiliated funds. The administrator must be able to obtain underlying fund NAVs to calculate the FoF's own NAV, and due diligence must be conducted on each underlying fund at both inception and on an ongoing basis.

• Can a Gibraltar fund have an umbrella structure with multiple sub-funds?

  Yes. Gibraltar's EIF framework supports umbrella fund structures with multiple sub-funds, each with its own investment strategy, investor base, and separate assets and liabilities. This is efficient for managers who wish to run multiple strategies under a single regulated vehicle, sharing the overhead of GFSC authorisation and fund infrastructure. Each sub-fund is treated separately for NAV, investor reporting, and fee purposes.

  Protected cell companies can additionally be tokenised.

• What is the Small AIFM threshold and how does it affect fund setup?

  The Small AIFM regime applies to fund managers whose assets under management are below €100m (unleveraged) or €500m (fully leveraged, with no redemption rights for five years). Small AIFMs are subject to a simplified registration process rather than full AIFMD-equivalent authorisation, with lower regulatory costs and faster setup. However, Small AIFMs cannot passport into the EU under the AIFMD and must comply with Gibraltar's national AIFM regime.

  Gibraltar EIFs may opt out of the full requirements of AIFMD, in line with similar jurisdictions such as the Cayman Islands or the British Virgin Islands.

• What are the typical annual costs for a Gibraltar fund?

  Annual costs for a Gibraltar fund include fund administration fees (typically £15,000–£40,000 per year depending on complexity and NAV frequency), audit fees (£8,000–£25,000), GFSC annual fees (£3,000–£10,000 depending on fund type), legal fees for ongoing compliance, and registered office costs. Total annual running costs for a straightforward fund typically range from £30,000 to £80,000, exclusive of investment management fees.

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