Funds, Simplified:
Here at ICAM, we incubate your fund from founding to funding, while leaving you free from the day-to-day operational aspects of the fund. This opens up many possibilities and investment strategies that may be pursued.
One such popular use of a fund structure is that of a Feeder Fund Structure. At its core, a Feeder Structure is an investment vehicle that collects capital from individual or institutional investors and then channels or “feeds” that capital into a larger, master fund. Instead of individual investors directly investing in the master fund, they invest through the feeder. This arrangement can offer several benefits, from tax advantages to simplified investor management.
Funds managed by us
Abacus Holdings
Impact Capital Asia Fund
Waterfield Global Fund of Funds I
The Singapore VCC (Variable Capital Company):
Introduced in Singapore, the VCC is a flexible and efficient corporate structure tailored for investment funds. It is particularly popular for establishing feeder structures. Here’s why:
Flexibility in Capital: The VCC allows for easy issuance and redemption of shares. This means capital can increase or decrease seamlessly based on investment inflows and outflows, ensuring responsiveness to market conditions.
Tax Efficiency: The VCC structure in Singapore is designed with tax considerations in mind. It can be used to take advantage of certain tax treaties and exemptions that Singapore has established with other nations.
Ring-Fenced Assets and Liabilities: Each sub-fund under a VCC is segregated. This means the assets and liabilities of one sub-fund are protected from the liabilities of other sub-funds, offering enhanced protection to investors.
Operational Simplicity: With a VCC, there’s a consolidated approach. Even if the VCC has multiple sub-funds, it operates under a single corporate entity. This can simplify administrative and regulatory processes.
Strong Regulatory Framework: Administered by ACRA and governed by the VCC Act, a VCC operates within a robust regulatory framework, ensuring investor protection and transparency.
In Conclusion:
The Feeder Structure, particularly when established as a VCC in Singapore, offers investors a streamlined and efficient means of tapping into larger funds. It balances flexibility, protection, and operational simplicity, making it a popular choice for global investors looking to benefit from Singapore’s growing status as a financial hub.
Why Singapore?
Singapore, often hailed as the financial hub of Asia, has garnered a sterling reputation for its robust financial infrastructure, clear regulatory framework, and pro-business environment.- Singapore ranks 2nd in the 2020 World Bank in the ease of doing business report, 3rd on the 2022 Global Financial Centre Index (GFCI), and 5th on the 2022 Corruption Perceptions Index. When considering launching funds or rooting assets here in Singapore, there are several compelling advantages:
Stable Political Environment and Regulatory Framework:
Singapore is renowned for its rigorous yet pragmatic regulatory oversight. It's political stability and consistent economic growth further enhances its attractiveness as a location to anchor business operations.
Tax Advantages:
Singapore offers a competitive tax regime, with numerous double tax treaties, tax exemptions, and incentives. This can lead to significant tax efficiencies for funds and their investors.
Strategic Geographical Location:
Positioned at the heart of Asia, Singapore offers gateways to neighbouring Asian markets. The multitude of events, conferences, and seminars provides unparalleled networking opportunities.
Reputation for Integrity:
Singapore's stringent anti-money laundering (AML) and counter-financing of terrorism (CFT) regulations make it a jurisdiction of choice for investors seeking both safety and integrity.
Skilled Workforce:
With its rich talent pool in the financial and legal sectors, Singapore provides expertise in fund management, administration, and other related services.
Efficient Infrastructure:
Whether it's the ease of setting up businesses, advanced IT infrastructure, or seamless banking systems, Singapore offers a holistic environment conducive for financial operations.
