Collective investments: Russian and foreign law

Any collective investment structure (a fund / an investment company, managing assets) is a complex project that requires the participation of specialists from various fields. Frequently, the participation of foreign investors in Russian companies isn’t made on the open market, instead they purchase shares directly from the current shareholders. Another popular option is the creation of an international fund, combining assets in various jurisdictions, and managed by an international team. The use of international structures for collective investment is in no way limited to the above options. For example, involving a small number of investors in the possession of an expensive asset is also an option.

In any case, the creation of such a structure implies that the following legal matters should be addressed:

• Preparation of a detailed business model for doing business through a fund / other collective investment structure.
• Determination of the restrictions on foreign collective investments, in the country, where the assets would be located (taking into account the industry).
• Determination of the restrictions in place for possible investments industries, location of the managing company and the residence of investors, in the country, where the fund will be registered.
• Clarification of features regulating the activities of the management company / or professional managers in the country of registration (taking into account the specific activities planned).
• Clarification of the features of state regulation of the fund and the management company‘s activities.

More detailed information on establishing collective investment structures may be found in the «Investment Funds» section. Our experts have significant practical experience in the creation of international collective investment institutions in different jurisdictions, having dealt with projects at any stage of the existence of such a structure (from developing a concept and subsequently implementing it, to maintaining existing structures and even liquidating such structures). Our team also includes specialists with valid standardized certificates, issued by the Russian Financial Markets Service.

Thus, we are prepared to provide an extensive range of collective investment services, depending on the needs of our customers.