Several of Cayman’s law firms specialise in capital markets and structured finance transactions for international clients.
The Cayman Islands have become one of the world’s leading providers of Special Purpose Vehicles (SPVs) for structured finance transactions and are recognised by the international rating agencies as a pre-eminent jurisdiction for rated debt capital market transactions. SPVs are often used in securitisation transactions which involve the acquisition of financial assets by the SPV and the subsequent issuance of securities to institutional investors.
The attraction of the Cayman Islands for investors in securities issued by Cayman Islands SPVs includes statutory recognition of non-petition provisions, tax neutrality, creditor-friendly legislation and the large number of sophisticated professionals in the legal, accounting and fiduciary sectors who are well versed in assisting with establishing, maintaining and reviewing orphaned structures.