sets requirements for audited financial statements prepared by approved auditors; and addresses market abuse and outlines offences such as insider trading and market manipulation. The general requirements will be supplemented by regulations and provisions in the Regulatory Code. The legislation also authorizes the FSC to create other codes to address specific areas, such as the Public Funds Code that covers prospectus disclosure; asset valuation; segregation of fund assets; and other issues related to the regulation of funds offered to the public. A draft of
subsidiary instruments (Mutual Fund Regulations and the Public Funds Code) were reviewed. The FSCA and now SIBA provide the main legal framework for the supervision of securities activities in the BVI. 38. The FSC licenses mutual fund administrators and managers operating in or from the jurisdiction. As of the end of 2009, 573 licenses had been granted. Mutual funds authorized by the FSC are not required to have managers or administrators that are licensed in the jurisdiction and very few of these licensees are resident. SIBA gives the FSC authority to regulate other
RC standards. Principle 17 Mutual fund conflicts of interest should be dealt with more comprehensively. All of the relationships between the managers, administrators, other functionaries and service providers should be required to be disclosed. Mutual funds, managers and administrators should be required to file annual audited financial statements with the FSC. Managers and administrators should also be required to file other regulatory reports. Institute a program of regular inspections of all of these entities. The Public Funds Code sets out a