Side Pockets in Malta Hedge Funds

We've put up a detailed publication dealing with side pockets under Maltese legislation on our website www.ccmalta.com. The material should be of interest to any Malta fund manager looking to use side pockets, as well as to anyone who is interested in learning more about the flexibility which Maltese hedge funds can afford.

In essence, side pockets are a mechanism which allows for the segregation of problematic assets e.g. assets which cannot be valued in an accurate manner. A side pocket involves the transfer of problematic assets to a new class of shares within the fund, i.e. a side pocket, and are thus separated from the main pool of assets.

You can find a lot more about the topic on our website 

Charles Cassar
Financial Services Lawyer, Malta
Chetcuti Cauchi Advocates, Malta Law Firm

What is a 'recognized jurisdiction'?

The term 'recognized jurisdictions' features quite broadly in the Maltese funds regulatory regime. The term may sound innocuous enough, but it has a number of important implications which need to be taken into account when structuring funds in Malta. We've just uploaded a detailed publication on our website analyzing the term in extensive detail. You can find the publication here. As usual, get in touch if you have questions about hedge funds in Malta, Maltese investment services set-ups, or any other aspect of Malta's financial services sector.

Dr Charles Cassar
Financial Services Lawyer
Chetcuti Cauchi Advocates