Updated regulations could give the British Virgin Islands (BVI) an edge in attracting more hedge fund domiciliations to the jurisdiction.

Overview The British Virgin Islands now has a wide-ranging law governing the regulation of all forms of financial and investment business. This could give the jurisidction a significant edge in its quest to attract more hedge funds business to the islands.

Regulation Brodrick Penn, director of investment business at the BVI Financial Services Commission, discusses the jurisdiction’s firm and flexible approach to regulation.

Fund administration BVI fund administrators have a reputation for providing high-quality services and are staffed by experienced fund professionals.

Legal services Lawyers in the BVI are continuing to advise investors on dealing with distressed funds while fund formation work is starting to pick up. The jurisdiction’s rapid ascent as an international financial centre and hedge fund domicile has attracted a number of internationally recognised law firms to the islands.

Insolvency The court-appointed liquidators charged with recovering assets funnelled to Bernard Madoff are pursuing claims against multiple parties. The BVI was home to some of the largest Madoff feeder funds, including those run by Fairfield Greenwich, Kingate and Mount Capital.

Auditing and accounting The move by Ernst & Young to open an office in BVI is a boost for the jurisdiction’s audit sector. The news comes as BVI continues to strive to attract internationally recognised hedge fund service providers.

What they say BVI service providers and industry participants give their views on why the jurisidiction is growing as a hedge fund centre.

BVI at a glance Key facts, figures and useful information about the British Virgin Islands.