Director Registration and Licensing
The regulatory regime governing individuals and entities serving as directors for regulated mutual funds and securities businesses in the Cayman Islands.
[[Directors_Registration_and_Licensing_Act, 2014.pdf]], [[Directors_Registration_and_Licensing(Amendment)_Act_2023.pdf]]
2026-04-27
The Regime
All directors of "covered entities" must be either registered or licensed with the Cayman Islands Monetary Authority (cima) under the directors-registration-and-licensing-act-2014.
Covered Entities
The regime applies to directors of:
- Mutual Funds regulated under the mutual-funds-act-2025.
- Securities Investment Businesses registered or licensed under the securities-investment-business-act-2020.
Categories and Requirements
| Category | Description | Requirement | Insurance |
|---|---|---|---|
| Registered Director | Natural person, < 20 covered entities | Registration | N/A |
| Professional Director | Natural person, ≥ 20 covered entities | License | $1M min |
| Corporate Director | Body corporate serving as director | License | $1M min |
Fitness and Propriety
All licensed directors (Professional and Corporate) are subject to a fit and proper person assessment by CIMA. Registered directors must also disclose any criminal history or regulatory findings (source: Directors_Registration_and_Licensing_Act,_2014.pdf, Section 7, 12).
Annual Obligations
- Fees: Annual fees are due to CIMA by January 15th each year.
- Reporting: Directors must inform CIMA within 21 days of any change to the information provided in their registration or license application.
- Compliance: Failure to register or pay annual fees can result in substantial fines and imprisonment (source: Directors_Registration_and_Licensing_Act,_2014.pdf, Sections 6, 8, 14).
Corporate Liability
Criminal liability for offences under the Act extends beyond traditional corporate bodies to include partnerships, limited liability partnerships (LLPs), and unincorporated associations. Partners and managers of these entities can be held personally liable for breaches committed with their consent or due to their neglect (source: directors-registration-and-licensing-amendment-act-2023).