With markets swinging lately, starting a fund of funds sounds like a bold move. What’s step one for setting up offshore—picking a jurisdiction, finding a lawyer, or sizing up capital needs? Share your thoughts on the must-dos to kick things off without tripping over red tape or costs.
Good question—and yes, launching a fund of funds offshore is bold, but with the right structure, it doesn’t have to be a bureaucratic nightmare.
In setups like ChainBLX SPC, the process is streamlined through a Segregated Portfolio (SP) structure under an existing Cayman Islands–regulated Segregated Portfolio Company (SPC).
Instead of forming your own full entity from scratch (which takes time, legal setup, CIMA filings, and multiple service providers), managers can launch their own portfolio (SP) under an already-licensed SPC—saving months and significant upfront cost.
Here’s how it usually works:
- Step One is entering into an engagement agreement with the SPC platform provider (like ChainBLX).
- You get your own legally ring-fenced Segregated Portfolio under the SPC, with full control over your strategy, investors, and economics.
- Access to banking, fund admin, audit, legal, and KYC/AML is already built in, so you don’t have to coordinate separate service providers.
- The SPC handles all regulatory and compliance matters with CIMA, NAV reporting, investor onboarding, and so on.
This structure is particularly useful if you’re testing a new strategy, starting with limited capital, or want to avoid the overhead of managing a full Cayman entity yourself.
In short: you get your own fund, but plug into an existing ecosystem that takes care of the backend.