Prountzos & Prountzos LLC | EY Law has been engaged in the setting up and operation of a significant proportion of the Alternative Investment Funds established in Cyprus and has been advising predominantly international asset managers who establish an investment management firm in Cyprus under the supervision of CySEC. Mr. Charalambos Prountzos, Managing Partner at Prountzos & Prountzos LLC, EY Law Leader Central, Eastern, Southeastern Europe & Central Asia sees an increased interest from Israeli asset management firms and a turn from the jurisdictions they had been traditionally using for hosting and distributing their investments, to the use of Cyprus investment funds. “This trend has been facilitated by the enhanced funds’ ecosystem that Cyprus has organically developed, the fee compression the asset management industry is experiencing which obliges fund managers to look for the same quality at a more competitive cost as well as Cyprus’ tax-friendly regime; both at an investor and a fund management level” he explained.
Prountzos pinpoints that Prountzos & Prountzos LLC | EY Law has a solid network of advisors in Cyprus, an important requirement for doing business in the country. “Our firm is cooperating with highly skilled organisations offering the services a fund receives during its life cycle and an asset manager requires during its operations, such as fund management, administration, depositary, tax, audit and compliance advice, for seamless and high-quality support” he said. The firm’s capabilities include legal and tax services, advice on investment deployment in Cyprus and support during the capital raising stage.
With the different structures available for setting up and managing investment funds, and the introduction of the mini-AIFM to serve asset managers with up to 500million AuM, the Cyprus funds’ industry has certainly gained momentum in the global arena. “Prountzos & Prountzos LLC | EY Law core focus on fund advisory services is driven by the goal of achieving our clients’ expectations from the Cyprus funds and asset management sector” he concluded.