What is the FAR Form and who can file this?

The statutory basis for requiring a private fund to complete and file a FAR Form is set out in the Private Funds (Annual Returns) Regulations 2021 (FAR Regulations).

The FAR Form is comprised of three headings each requiring specified information including:

Part A (General Information): details of the private fund, its legal structure, its service providers and non-identifying investor metrics;

Part B (Operating Information): the value of investments held, investment strategy, whether the fund’s investments are listed, whether the fund has been subject to any regulatory investigation (or any of its related fund entities) within the reporting period and total number of side letters in place; and

Part C (Financial Information): the type of audit opinion issued, accounting principles used, total assets, opening and closing net asset value, capital contributions, payments, distributions, net income, details of asset allocation, leverage and allocation of debt and equity securities plus required statutory declarations as regards valuations, safekeeping of assets and cash monitoring.

The FAR Form, in excel format, is downloadable and may be completed by the fund operator who is also required to arrange the filing of the audited financial statements to which the FAR Form relates together with a declaration that the information contained in the FAR Form is accurate and complete. The auditor or person designated by the private fund (and as approved by CIMA) is responsible for submitting the completed FAR Form received from the operator of a private fund.

Applicable fees

The fee for filing the FAR Form is US$366 and an additional US$184 for each alternative investment vehicle[1] and sub-fund of the private fund (see Regulation 4 (Fees) of the FAR Regulations).

General Comments

Failure to file a FAR Form on time may result in a US$24,400 fine. Therefore, ensuring early compliance with the FAR Regulations should be an important Q3 2021 priority for all CIMA registered private funds.

This regulatory reporting requirement is only relevant to private funds. CIMA registered mutual funds must complete their own fund annual reporting filings within six months of the fund’s financial year end under the Mutual Funds Act 2020.

[1] Excluding an alternative investment vehicle itself separately registered as a private fund

This briefing is for general guidance only and should not be regarded as a substitute for professional legal advice. We recommend seeking professional advice from your usual Appleby contact if you have any queries in relation to this regulatory reporting requirement.

Key contacts

Miriam Smyth

Senior Associate: Cayman Islands

T +1 345 814 2975
E Email Miriam

Marc Parrott

Partner: Hong Kong, Shanghai

T +852 2905 5710
E Email Marc

Share
Twitter LinkedIn Email Save as PDF
More News
1 Dec 2022 | News

Appleby leads in offshore fintech

Appleby has been ranked Band 1 for the firm’s work in the fintech sector in the BVI, Guernsey and ...

18 Nov 2022 | Media Statements

Appleby shines in Legal500 Cayman Islands Guide

The Legal 500 has recognised 24 Appleby lawyers across eight practice areas including new Tier 1 ran...

10 Nov 2022 | News

Appleby adds to total of top tier rankings in Legal 500 Caribbean 2023

Legal 500 Caribbean has ranked Appleby Tier 1 for nine practice areas and recognised 53 lawyers from...

1 Nov 2022 | Deals

Appleby advises Endurance Acquisition Corp. on its de-SPAC business combination with SatixFy Communications Ltd.

Appleby is pleased to have acted as Cayman Islands legal counsel to Endurance Acquisition Corp. (NAS...

25 Oct 2022 | News

Appleby leads on six jurisdictional chapters for Legal 500’s latest Mergers & Acquisitions (M&A) guide

Appleby has authored the chapters for Bermuda, the British Virgin Islands, the Cayman Islands, Guern...

12 Oct 2022 | Deals

Appleby advises Karate Combat – The First Professional Sports League to launch a DAO

Appleby’s Global Technology and Innovation Group has advised Karate Combat on its transition to a ...

5 Oct 2022 | Deals

Appleby advises Silver Crest Acquisition Corporation on successful completion of US$1.4 billion de-spac with Tims China

Appleby is pleased to have acted as Cayman Islands legal counsel to Silver Crest Acquisition Corpora...

29 Sep 2022 | News

Cayman Islands Regulatory Update – The Economic Substance Return filing deadline draws closer

In our latest economic substance briefing, Appleby and its affiliate Appleby Global Services remind ...

29 Sep 2022 | News

Updated Deregistration Rules for Cayman Islands Regulated Funds

The principal aim of the updates is to streamline the process for deregistering mutual funds and pri...