Singapore is a key fund and asset management hub in Asia Pacific, offering an attractive balance between a competitive tax regime, political and economic stability and the credibility that comes with investing in an onshore financial centre. In addition, its robust regulatory system and FATF low-risk status provides additional confidence for global investors.
The introduction of VCCs has proven to further increase its appeal as a fund domicile of choice for global and Asian investors, providing fund managers with a flexible structure that simplifies fund administration and corporate governance.
With a dedicated team of fund professionals in Singapore and one of the first fund administrators to assist setup and service clients’ VCC structures, Vistra can help you launch your VCC and provide end-to-end fund administration, setup, tax compliance, governance and regulatory support.
What is the Singapore VCC?
The Singapore Variable Capital Company (VCC) is a corporate structure for investment funds that offers investors and fund managers significant flexibility across different fund strategies, investor classes and asset classes.
The VCC was introduced in 2020 by the Monetary Authority of Singapore (MAS) as a more flexible fund structure compared to the private limited company and the limited partnership. It allows managers to “onshore” their funds in Singapore as well as setting up fund management activities and operations in the city-state.
Why Vistra for your Singapore VCC?
Vistra helped Quest Ventures take advantage of the Singapore VCC
Quest Ventures wanted to use the Singapore Variable Capital Company (VCC) structure to get their investor-led funds to market at speed. Vistra supported Quest Ventures with a full suite of end-to-end fund setup and administration solutions, allowing them to focus on their core business.
Key features of a VCC
One of the main challenges facing managers establishing funds as a limited partnership was the lack of a separate legal entity from the partners. A VCC can be established as a standalone VCC or an umbrella VCC with sub-funds – and the latter allows managers to segregate assets which keeps liabilities separate from other sub-funds.
Other features of a Singapore Variable Capital Company include
- Utilising a VCC umbrella structure allows the ability to launch sub funds quicker than a standard structure
- Sub funds can be exited without having to restructure or wind down the entire fund
- You are permitted to redeem or purchase fully paid shares or pay distributions out of both capital and/or profits
- You can re-domicile existing funds with comparable structures in Singapore as a VCC, or inwardly re-domicile relevant foreign corporate entities as VCCs
Benefits of the VCC
Interactive fund domicile map
What other fund structures can you consider in Singapore? How does Singapore compare to other jurisdictions like Cayman?
Our interactive fund domicile map allows you to compare popular destination countries by type of structures available and their respective set-up time, regulatory and tax requirements.
Need support for fund services outside of Singapore?
We help private equity firms navigate cross-border complexities to be compliant and efficient wherever they are globally.