The term financial services means:

"dealing in investments, managing investments, providing investment advice or establishing and operating collective investment schemes. In this connection the term investments refers to shares, debentures, government and public securities, warrants, certificates representing securities, units in collective investment schemes, options, futures and contracts for differences."

Normally only branches, subsidiaries or associate companies of overseas financial services companies, enjoying a good reputation internationally and established in countries where there is adequate financial supervision, may be considered as eligible for a licence to render international financial services from Cyprus.

The Central Bank of Cyprus welcomes applications for the establishment and management in Cyprus of international collective investment schemes. The International Collective Investment Schemes Law, which was enacted in May 1999, allows for the establishment of such schemes in various legal forms such as international fixed capital companies, international variable capital companies, international investment limited partnerships and international unit trusts.

Successful applicants for the establishment of international financial services companies, known as IFCs are issued with a permit which incorporates a number of "special" conditions additional to the ones applicable to other international business enterprises. For more information please contact the International Banking and Financial Services Section, Central Bank of Cyprus.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances from a local lawyer or accountant.