Guide

CIMA rules on calculation of asset values for regulated mutual funds and registered private funds

In July 2020, the Cayman Islands Monetary Authority issued rules on calculation of asset values for both regulated mutual funds and registered private funds. The key premise of both sets of rules is that a fund must establish, implement and maintain a NAV calculation policy that ensures a fund’s NAV is fair, complete, neutral, verifiable and free from material error. The rules for registered private funds include a further requirement that the fund's NAV be reliable.