Investment Education PLC

Offshore Funds Administration
Last Updated - 23 December 2010
Todays Date -
Return to CoursePrint course
Duration 1 day
UK & Europe
Fee Available as an in-house course


Staff working in the administration or investment areas of international funds often have limited knowledge of the process in which they play a role.  In addition, they are usually ignorant of areas outside their own responsibility.


This course provides a complete overview of the administration process of local and offshore funds. It can be tailored to meet Client needs in any Offshore location Apart from the section concerning the Legal Background in the relevant jurisdiction, the courses will be the same.




This course is suitable for staff or managers working in any of the areas concerned who want an overview of the process and considerable detail as to what is done, how and why.  It is also suitable for those such as IT, Accounting and Compliance Executives who work in areas or companies related to Fund Administration.


Delegates should have at least 3 months experience of an investment funds operation but no specific knowledge is assumed.



Legal Background to Investment Funds

Relevant Investment Fund Laws.


Legal categories of Investment Funds and what they mean.


Who is involved in an investment fund and what they do:

-      fund administrators and management company

-      fund advisers and fund managers

-      custodian and trustee (if applicable)

-      auditors

-      regulator and supervisor


Role of Regulator and example relevant regulations.




Objectives and documentation needed for a fund (explain what and why):

-      prospectus

-      investment objective and restrictions

-      reports to the regulator

-      reports to the investor



Offshore Investment Funds

What is an Investment Fund from the investment viewpoint.

Types of Investment Funds: General (Capital, Growth, Income, Fund of Funds, etc), Geographic, Theme/Specialist (eg Technology, Health, Gold etc).


Investment Fund advantages for the individual or institution.

Open end v Closed end Funds.

Offshore v Onshore.

UCITS and foreign types of fund eg Unit Trusts, OEICS, SICAV, PFMs, FCP, SICAF.

Types of unit: Income v Accumulation.

Charges for the investor: front-end, annual, exit.

Methods of selling Funds. Agents commission.

Direct Selling.


Parties involved with an Offshore Fund: Manager, Trustee or ACD, Custodian or Depository, Unit or Fund Holder/Investor.



Fund Valuation and Pricing and Dealing

Bid-Offer prices. Single pricing. What they mean.

Structure of fees and charges.

Fund  valuation. Pricing process.

Historic v forward pricing.

Price quotations in newspapers eg The Financial Times.

Calculation of Net Asset Value.

Charges and accrued income aspects of valuation:

Income and Accumulation units.


Calculating Bid-Offer prices or simple prices.

Issue and redemption of units.

Reconciliation of units.

Unit cancellation.

Contract notes and documentation.

Agents commissions.

Managers remuneration.

Other expenses.





Closing the books.

xd date. Timing.                       

Distribution calculation

Reinvestment calculation.



Reporting Issues

Annual and interim reports. A review of a report in detail.



Transfer Agency and Registration and Certification

What are Transfer Agency operations ?


Register of investors. Content. Transfer of holdings.


Registered v Bearer units. Issue of certificates.


Example procedures concerning:

  - death and inheritance

  - change of name

  - change of address   

  - divorce

  - corporate holdings   

  - holdings for children etc


Power of attorney. An overview.

Use of nominee name and companies.

Lost certificates and damaged certificates: procedure.




Example Case and Review

A detailed review of the whole IF process from when an individual decides to purchase holding from an agent to the eventual sale. Timings, paperwork etc will be reviewed.