International Financial Services
International Financial Services
Overview
St. Vincent and the Grenadines (SVG) operates a small but well regulated international financial services sector (IFS) comprising International Business Companies (IBCs) including Segregated Cell Companies, Limited Liability Companies (LLCs), Mutual Funds, International Banks, International Insurances, International Trusts and Registered Agent and Trustees. SVG is one of the oldest IFCs in the region, offering a wealth of experience, knowledge and professionalism since the 1970s.
The Government of SVG is committed to the country’s growth as a reputable IFC. SVG is subject to its own legislation and regulations and this feature creates greater product value for the investor and industry legislation that is practical and business friendly. The risks of exposure to money laundering and terrorist financing have been mitigated by strong modern legislative and administrative measures.
Key institutions that are pillars in ensuring the sound regulation of the financial services industry are the SVG Financial Intelligence Unit (FIU) and the National Anti-Money Laundering Committee. The FIU is a member of the Egmont Group and has been commended by key States and organizations for its role in anti-money laundering investigations and compliance.
The international financial services (IFS) sector is comprised of the following types of financial products:
- International Banks;
- Mutual Funds;
- Business Companies (BCs);
- Limited Liability Companies (LLCs);
- International Trusts;
- Virtual Asset Services Providers
- International Insurance Companies and Intermediaries; and
- Registered Agents and Trustees/Service Providers.
SVG’s products are in keeping with those internationally offered and are reviewed periodically to ensure sustainability and relevance given the dynamic global market in which they compete. There is continuous focus on updating and improving relevant legislation and keeping apprised of all international developments and best practices.
See the following for:
The FSA offers efficient and professional service to the IFS sector. Incorporations of BCs and formations of LLCs are completed within one business day. Trusts registrations are completed within two to three business days. All international business transactions are conducted through the services of a ‘Registered Agent & Trustee/Service Provider’.
All applications or filings relating international entities made to the Financial Services Authority must be filed by a licensed Registered Agent and Trustee in St. Vincent and the Grenadines.
| Category | Fee Type | Amount |
|---|---|---|
| Business Companies | Registration | $125.00 |
| Annual Fee | $100.00 | |
| Any Other Application | $50.00 | |
| Trust | Registration | $300.00 |
| Annual Fee | $150.00 | |
| Any Other Application | $50.00 | |
| International Insurance Companies | Application Fee | $500.00 |
| Annual Fee-Classes I, II, III | $3,000.00 | |
| Annual Fee-Classes IV & V | $2,000.00 | |
| Annual Fee For Agent/Broker/Manager | $500.00 | |
| Any Other Application | $50.00 | |
| Due Diligence | COST+$50 | |
| International Banks | Application Fee | $1,000.00 |
| Licence Fee-Class A | $10,000.00 | |
| Licence Fee-Class B | $10,000.00 | |
| Annual Fee-Class A | $10,000.00 | |
| Annual Fee-Class B | $5,000.00 | |
| Conversion Fee | $1,000.00 | |
| Any Other Application | $50.00 | |
| Due Diligence | COST+$50 | |
| Registered Agents | Application Fee | $500.00 |
| Annual Licence Fee | $1,200.00 | |
| Any Other Application | $50.00 | |
| Due Diligence | COST+$50 | |
| Mutual Funds | Application Fee (All Entries) | $500.00 |
| Licence Fee-All Funds | $600.00 | |
| Licence Fee-Manager or Administrator | $500.00 | |
| Licence Fee-Manager and Administrator | $1,000.00 | |
| Licence Fee-Recognised Manager | $500.00 | |
| Annual Fee-All Funds | $600.00 | |
| Annual Fee-Manager or Administrator | $500.00 | |
| Annual Fee-Manager and Administrator | $1,000.00 | |
| Annual Fee-Recognised Manager | $500.00 | |
| Any Other Application | $50.00 | |
| Due Diligence | COST+$50 | |
| Limited Liability Companies – Effective June 9, 2010 | ||
| Single LLC | Registration of a new LLC | $125.00 |
| Registration of an LLC from another jurisdiction | $50.00 | |
| Annual Fee | $100.00 | |
| Issuing a certificate of dissolution or discontinuance | $250.00 | |
| Any other Application or filing | $50.00 | |
| Series LLC | Registration of a new LLC | $500.00 |
| Continuation of an LLC from another jurisdiction | $125.00 | |
| Annual (fixed element) | $300.00 | |
| Variable Annual Fee per series (Subject to a maximum of $10,000) | $250.00 | |
| Issuing a certificate of dissolution or discontinuance | $500.00 | |
| Any other Application or filing | $50.00 | |
Credit Union
Asset Size | Registration Renewal Fee |
$10,000,000 and less | 2,000.00 |
$10,000,001 – $20,000,000 | 2,500.00 |
$20,000,001 – $50,000,000 | 5,000.00 |
$50,000,001 – $75,000,000 | 7,500.00 |
$75,000,001 – $125,000,000 | 10,000.00 |
Over 125,000,000 | 12,500.00 |
List of Registered Agents licensed to conduct business of Offshore representation pursuant to section 5 (1) of the Registered Agent and Trustee Licensing Act 1996
AEGIS TRUST SERVICES LTD.
Lower Bay Street
Browne’s Building, Suite 2131
Kingstown, St. Vincent and the Grenadines
Tel: 1 784 529 1304
Email: cynthia@aegistrust.net
COSMOS TRUST LIMITED
78 Halifax Street
P. O. Box 726, Kingstown
St. Vincent and the Grenadines
Tel: 784-457-1258
Fax: 784-456-2653
Email: cosmos@elizabethlawchambers.com
Web: www.elizabethlawchambers.com
DELANY & ASSOCIATES CORPORATE SERVICES LTD.
First Floor, SVG Teachers Credit Union Uptown Building
Corner of James and Middle Street
Kingstown P.O.
St. Vincent and the Grenadines
Tel: 1 784 497 9000
Fax: 1 246 228 2280
Email: nh@delanycorp.com / rs@delanycorp.com
FIDUCIARY SERVICE CORPORATION
Regal Chambers
Regal Building, 2nd Floor
Middle Street
P. O. Box 1674
Kingstown VC0100
St. Vincent and the Grenadines
Tel: 784-457-2210
Fax: 784-457-1823
Email: gbollers@regallaw.com
INTERNATIONAL BUSINESS SERVICES LTD.
The Financial Service Centre
P. O. Box 1823
Stoney Ground, Kingstown
St. Vincent and the Grenadines
Tel: 784-456-2482
Fax: 784-456-2483
Email: info@ibssvg.com
Website: www.ibssvg.com
ST. VINCENT TRUST SERVICE LTD.
Trust House
112 Bonadie Street
P. O. Box 613, Kingstown
St. Vincent and the Grenadines
Tel: 784-457-1027 & 784-457-1145
Fax: 784-457-1961
Email: service@st-vincent-trust.com
Web: www.st-vincent-trust.com
WILFRED SERVICES LTD
Suite 305, Griffith Corporate Centre
Beachmont
P.O.Box 1510, Kingstown
St. Vincent and the Grenadines
Tel: 784-456-2970 Fax: 877 471-8132/ +44 808-171-1136
Email: wilfredservices@gmail.com
Web: www.wilfredinternationalservices.com
Lex Mercatoria Fiduciary Ltd.
ST. VINCENT TRUST COMPANY LTD.
Trust House
112 Bonadie Street
P. O. Box 613, Kingstown
St. Vincent and the Grenadines
Tel: 784-457-1027 & 784-457-1145
Fax: 784-457-1961
Email: service@st-vincent-trust.com
Web: www.st-vincent-trust.com
LEEWARD TRUST CORPORATION
Bonadie Plaza, Egmont Street,
Kingstown
St. Vincent and the Grenadines
Tel: 784-570-2201
Fax: 784-451-2034
Email: m.foyle@leewardtrust.vc
GOLD IN (ST. VINCENT) CO., LTD.
Griffith Corporate Centre
Beachmont
Kingstown
St. Vincent and the Grenadines
Tel: 1-784-485-6458
Email: tw@goldinglobal.com
Website: www.goldinglobal.com
EURO-CARIBBEAN TRUSTEES LTD
Euro House,
Richmond Hill Rd,
P.O Box 2897,
Kingstown,
St. Vincent and the Grenadines.
Tel: 784-485-6124 or 784-533-0465
Email: info@ectl-svg.com
Website: www.ectl-svg.com
DENNINGS (TRUSTEES) LIMITED
The Jaycees Building
P.O. Box 362, Stoney Ground Building
Kingstown, VC0100
St. Vincent and the Grenadines
Tel: 784-451-2645
Fax: 784-485-6591
Email: dennings@gmail.com
Web: www.stvincentoffshore.net
CARIBBEAN TRUST COMPANY LTD
P. O. Box 1818, Kingstown
St. Vincent and the Grenadines
Tel: 784-453 1722
Fax: 784-453-1723
Email: mitchelljosephchambers@gmail.com
ST. VINCENT TRUST AND ESCROW LTD
Richmond Hill Rd
P.O. Box 2804
Kingstown
St. Vincent and the Grenadines
Tel: 1-784-485-6124 & 1-784-531-5109
Email: info@TrustStVincent.com
Web: www.truststvincent.com
Registered Agents
An individual or a domestic company may apply for a Registered Agent and Trustee Licence at the Financial Services Authority (FSA). If the intended applicant is a company, the must company must first be incorporated as a domestic company at the St. Vincent and the Grenadines Commerce and Intellectual Property Office (CIPO), proof of the incorporation must be submitted along with the application to the FSA.
A registered agent must have a physical presence in SVG, at present we do not facilitate electronic transactions, all transactions must occur at the office of the Financial Services Authority. Registered Agents licensed in SVG are required to pay income taxes in SVG.
A Registered agent may incorporate entities such as BCs, LLCs, Mutual Funds etc. The cost of these products can be found at http://svgfsa.com/fees/. Foundations are not presently being licensed in St. Vincent.
Please see the following Links for the documents which are required to be filed when making the application for a Registered Agent and Trustee licence:
The Application form
The Personal Questionnaire (PQ) to be filled out by the Director
The application fee is US$500.00
Please note that once a complete application is received (all relevant documents are filed and the application fee is paid) the processing time for the application is 3 to 4 weeks.
Please note that there are several attachments noted in the Application, PQ Forms which are required to be filed, when making the application.
The Application, PQ Forms and attachments must be filed in duplicate.
If the company intends to operate as a financial fiduciary please see the following link for the additional disclosures for a financial fiduciary; Additional disclosures.
Related Forms
Business Companies
Business Companies (formerly international business companies) can be incorporated in St. Vincent and the Grenadines for the conduct of legitimate or legal business activities. The application for the
incorporation of a Business Company must be made through a St. Vincent and the Grenadines licensed Registered Agent.
Articles of Incorporation, Notice of Directors and Members and the requisite fees must be provided to the Registrar of Business Companies to facilitate the incorporation process. Business Companies can be
incorporated within 24 hrs of the receipt of the application.
Business Companies:
> must have a Registered Agent in SVG, through which all applications to the Registrar of Business Companies are to be made
> must provide all customer due diligence information on the Ultimate Beneficial Owner, Shareholder and Director to the Registered Agent prior to the application for incorporation
> must state the nature of business activity it intends to engage in on incorporation
> cannot carry on any activity for which it requires a licence granted by the Authority, unless such a licence has been granted. (eg: Mutual Funds business, International Banking Business, International Insurance business).
> May have only one director and one shareholder
> may issue registered shares only. Bearer shares are not permitted.
> must adhere to economic substance requirements, where required
> may own land in SVG as long as it obtains an Alien Land Holding Licence
Shareholders, directors and officers may reside anywhere in the world and their meetings may be held wherever they decide. There is no residency or nationality requirement for shareholders, directors and/or officers of a St. Vincent and the Grenadines registered Business Company.
Business Companies are eligible to taxation on income earned in St. Vincent and the Grenadines. Upon incorporation, the Business Company must obtain a Tax Identification Number (TIN) from the Inland
Revenue Department.
Related Forms
- Application to be registered as a SCC
- Application to be Incorporated as a SCC
- Notice of Change to Directors details
- Cancellation of Election to Register Directors
- Application for Restoration to Register
- Notice of Election to Register Directors
- Certificate of Departure
- Articles of Continuation
- Articles of Dissolution
- Articles of Merger (Parent Company)
- Articles of Merger Consolidation
- Application for Variation of Registered Charge
- Notice of Cessation of Charge
- Election to Register Charge
- Application to Register Charge
- Certificate of Immobilization
- Notice of Change of Registered Office or Registered Agent
- Articles of Amendment
- Articles of Incorporation
- Request for Name Search
Mutual Funds (Private & Public)
- A BC must first be incorporated under the Business Companies Act.
- An application for Registration of a Public or Private Mutual Fund must be submitted.
- The mutual fund checklist, which provides a guide on the establishment of a mutual fund in SVG can be found at the end of this article.
- Personal questionnaires must be filled out by the directors.
- The Offering Memorandum of the Fund is expected to detail the following information:
- Structure of the company-classes of shares
- Investment Objectives (Investment target, investment policies, Risk analysis)
- Description of Directors, Investment Manager, Administrator, Banker/Custodian, Auditor, Legal Advisor, Investment Advisor)
- Investment types (e.g.: stocks, bond, derivatives etc.)
- Risk factors (general and specific risks)
- Fees, compensation, expenses
- Net Asset Value
- Taxation
- Subscriptions
- Redemptions
- Material contracts
- Conflicts of interest
- Anti-money laundering
- Rights of shareholders
- Other documents to be filed with the Application:
- Articles of Incorporation and By-Laws for the Business Company (BC) or Segregated Cell Company (SCC);
- Application to register the Mutual Fund /Mutual Fund Manager/ Fund Administrator,;
- Offering Memorandum for the Mutual Fund;
- Business Plan/ Projected Income;
- If the shareholder is a Company, two (2) previous years audited financial statements;
- A character reference letter for each Director and Shareholder;
- A bank reference for each Director and Shareholder;
- A Personal Questionnaire for each Director and Shareholder;
- Curriculum Vitae for each Director and Shareholder;
- Certified true copies of certificates for professional qualifications for each Director and Shareholder;
- Recent Police Records for each Director/Shareholder;
- Letters of acceptance from legal advisor and auditor;
- Consent to act as Director from each Director;
- Fund Management Agreement, Administrative Service Agreement and Custodian Agreement with the Mutual Fund;
- Due Diligence Fee; and
- Application Fee (non-refundable).
The application process will take 4-6 weeks, provided that all relevant documents are submitted at the time the application is made.
SCC Mutual Funds
- An application must be submitted by a licensed Registered Agent and Trustee in St. Vincent and the Grenadines.
- In order to form a SCC Public Mutual Fund, an SCC must first be incorporated under the Business Companies Act.
- An application for Registration of a Public Mutual Fund must be submitted, which can be found on page 20 of the Mutual Funds Regulation, which can be found at the end of this article.
- The mutual fund checklist, which provides a guide on the establishment of a mutual fund in SVG is available at the end of this article.
The Offering Memorandum is expected to detail the following information:
- Structure of the company-classes of shares
- Investment Objectives (Investment target, investment policies, Risk analysis)
- Description of Directors, Investment Manager, Administrator, Banker/Custodian, Auditor, Legal Advisor, Investment Advisor)
- Investment types (e.g.: stocks, bond, derivatives etc.)
- Risk factors (general and specific risks)
- Fees, compensation, expenses
- Net Asset Value
- Taxation
- Subscriptions
- Redemptions
- Material contracts
- Conflicts of interest
- Anti-money laundering
- Rights of shareholders
The application process will take 4-6 weeks, provided that all relevant documents are submitted at the time the application is made.
Please click here for a complete, current list of Mutual Funds.
Related Forms
Limited Liability Companies
Limited Liability Companies (LLCs) can be formed in St. Vincent and the Grenadines for the conduct of legitimate or legal business activities. The application for the formation of an LLC must be made through a St. Vincent and the Grenadines licensed Registered Agent.
A Limited Liability Company is governed by an Operating Agreement where manager and members are assigned interest in the company. The LLC Act provides for the formation of Single LLCs or Series LLCs.
LLCs are registered in SVG within 24 hrs.
Articles of Formation and the requisite fees must be provided to the Registrar of Limited Liability Companies to facilitate the incorporation process. Limited Liability Companies can be formed within 24
hrs of the receipt of the application.
Limited Liability Companies:
> must have a Registered Agent in SVG, through which all applications to the Registrar of Limited Liability Companies are to be made.
> must provide all customer due diligence information on the Ultimate Beneficial Owner, Manager and Members to the Registered Agent prior to the application for Formation.
> must state the nature of business activity it intends to engage in on formation.
Managers, members and officers may reside anywhere in the world and their meetings may be held wherever they decide. There is no residency or nationality requirement for managers, members and/or officers of a St. Vincent and the Grenadines formed LLC.
Related Forms
Related Forms
Trusts
To be registered in St. Vincent and the Grenadines, a trust may be created by an instrument in writing. The application must be made through a licensed Registered Trustee in St. Vincent and the Grenadines. Different types of trusts may be registered pursuant to the Trust Act, for example Charitable, Purpose or Spendthrift Trusts. Trusts may revocable or irrevocable.
The Beneficiaries of a trust must be identifiable by name or ascertainable by reference to a class or a relationship to some person whether or not living at the time of the creation of the trust or at the time which under the terms of the trust is the time by reference to which members of a class are to be determined. The settlor of a Trust may also be the beneficiary of the Trust.
A Protector may be appointed however, a Protector of a Trust cannot also be the Trustee of the same trust.
The Application for the registration of a Trust must be accompanied by the Trust Deed or Deed of Settlement. The Registered Agent and Trustee are expected to obtain and maintain updated customer due diligence information on all the relevant parties to the trust. The application process takes up to one week.
Segregated Cell Companies
Segregated Cell Companies may be registered in SVG where, inter alia, it is, or on its incorporation will be, recognized as an accredited or private fund or registered as a public fund or may obtain an international insurance licence – (Section 112 (2) (c) of the IBC Act).
The SCC may create one or more Segregated Cells (SC) for the purpose of segregating the assets and liabilities of the SCC. The assets of the SCs are segregated into separate accounts that are kept separate from the general assets of the SCC and separate books are kept for each SC. The SCC must obtain the approval of the Authority in order to create a SC. SCCs are registered in SVG within 24 hrs.
International Insurance Companies
An application must be made through a licensed registered agent in the State.
The International Insurance Act permits five (5) classes of international insurance companies, namely:
- Class I- Unrestricted
Insurers can carry on any international insurance business, including long term insurance
- Class II -General
Insurers can carry on general but not long-term international insurance business.
- Class III- Association
Insurers can carry on general and long-term international insurance business with two or more owners of the insurer and/or their affiliates, and up to 30% of business with persons who are not owners of the insurer or their affiliate.
- Class IV – Group
Insurers can carry on general and/or long-term international insurance business with one owner, its affiliates and employees.
- Class V- Single
Insurers may carry on international insurance business with the sole owner of the insurer, in the case of a company, or with the beneficial owners of the insurer, in the case of a trust.
The Capital requirements vary by class with higher requirements for higher risk firms.
The following is required to be accompany the application:
- Non-refundable application fee of US$500.00
- Audited financial statements or where there are no audited financial statements, unaudited financial statements as at a date no more than 6 months prior to the date of the application
- A summary of operations
- Five-year Financial projections
- Five-year underwriting projections
- Class I, II. III annual renewal fees -US$3,000.00
- Class IV, V- US$2,000.00
The application process will take 4-6 weeks, provided that all relevant documents are submitted at the time the application is made.
International Insurance Companies
| Company | Class |
|---|---|
| Pavilion Life Insurance Company | Class II |
| Rochester Indemnity Insurance Company Ltd | Class II |
International Insurance Intermediaries
| Intermediary | Type |
|---|---|
| John Barnard (Manager for: Pavilion Life Insurance Company) | Insurance Manager |
| LFV International Aviaition Brokers Limited | Insurance Broker |
International Banking License
To obtain an international banking license from the Financial Services Authority, the company has to ensure that its operations can adequately be defined as banking business. Banking business according to the International Banks Act, Chapter 99 of the Revised Laws of Saint Vincent and the Grenadines, 2009 is described as:
- the business of receiving funds through
- the acceptance of monetary deposits that are repayable on demand or after notice or any similar operation,
- the sale or placement of bonds, certificates, notes or other securities and the use of them, either in whole or in part, for loans or investment for the risk of the customer; and
- any other activity recognised by the Central Bank or the Authority as customary banking practice and which a financial institution may additionally be authorised to do.
A company must first obtain a license from the Financial Services Authority before it engages in banking business. The two classes of international banks which are licensed by the FSA are Class A international banks with capital requirements of US$3M and a statutory deposit of US$500,000 and Class B international bank with capital requirements of US$0.5M and a statutory deposit of US$100,000.
Additional information and the International Banks Act may be found on our website here.
Please note that a Class B international banking license when issued requires the licensee to maintain a fully paid-up capital of US$500,000 or its equivalent in another currency. Additionally, the licensee must deposit or invest US$100,000 in a manner which the Financial Services Authority (FSA) reasonably prescribes. Please also note that the business activity of a Class B international bank is restricted to those persons mentioned in its initial application to the FSA. Any new clients which the Bank obtains subsequent to licensing must be approved by the FSA.
In addition to the above requirements, all international banks are required to have a physical place of business in St.Vincent and the Grenadines, a minimum of two employees and a registered agent in accordance with Section 8 of the International Banks Act, Chapter 99 of the Revised Laws of St Vincent and the Grenadines. Additional information on establishing a Class B bank may be found on our website www.svgfsa.com
International banks are precluded from conducting banking business with residents of St. Vincent and the Grenadines, from investing in any asset that represents a claim on any resident, and from buying bonds or other securities issued by the State. In order to obtain a licence, they must establish a physical presence in the country, have at least two local employees (one at senior management level), and have at least two directors approved by the FSA, one of which must be a resident of St. Vincent and the Grenadines. There are two kinds of licence: class A imposes no restrictions on the international bank’s offshore business activities; class B allows the international bank to conduct business only with non-resident persons specifically named in an undertaking accompanying the licence application. All international banks are subject to onsite inspections at least once every 12-18 months.
Some additional points to note:
CLASS A
- Non-refundable application fee of US$1,000.00 is payable.
- Each Class A bank must establish and maintain a capital fund with fully paid-up capital of not less than three million US dollars (US$3,000,000.00) or its equivalent in another currency.
- Class A banks are required to hold a deposit or invest the sum of five hundred thousand US dollars (US$500,000.00) or its equivalent in another currency, in such a manner as the Authority may prescribe.
- Designate and notify the Authority by name a registered agent, which is not an official of the bank, to act as its registered agent in the state.
- Class A license fees US$10,000.00.
- Class A annual renewal Fees US$10,000.00.
CLASS B
- Non-refundable application fee of US$1,000.00 is payable.
- Each Class B bank must establish and maintain a Capital fund with fully paid-up capital of five hundred thousand United States dollars (US$500,000.00) or its equivalent in another currency.
- Class B banks are required to hold a deposit or invest the sum of one hundred thousand United States dollars (US$100,000.00) or its equivalent in another currency in such a manner as the Authority may prescribed.
- Designate and notify the Authority by name a registered agent, which is not an official of the bank, to act as its registered agent in the state.
- Class B license fees US$10,000.00.
- Class B annual renewal fees US$5,000.00.