Industry
Accountants for Investment Funds & Fund Managers in Cyprus
Tsquared supports Cyprus investment funds and fund managers with NAV-ready fund accounting, CySEC reporting, IFRS financial statements, tax structuring and audit coordination.
Challenges you face - solutions we provide
The problems AIFs, RAIFs, UCITS, fund managers and family offices bring to us, and exactly how we solve them.
Guides for Investment Funds & Fund Managers
Accounting for AIFs
Cyprus Alternative Investment Funds need IFRS financial statements, periodic NAV calculations and investor reporting that meet CySEC requirements under the AIF Law.
Setting up a RAIF
A Cyprus Registered AIF (RAIF) can launch within about a month without CySEC authorisation, provided it is managed by an authorised external AIFM.
UCITS reporting
Cyprus UCITS funds must publish semi-annual and annual reports, KIDs and regular NAVs while staying within strict investment and liquidity limits.
How Cyprus funds are taxed
Cyprus investment funds pay 15% corporate tax on taxable profits but most fund income - dividends, securities gains - is exempt, and there is no withholding tax on distributions to non-residents.
Accounting for fund managers
Cyprus AIFMs and UCITS management companies need capital-adequacy monitoring, fee accounting and audited statements filed with CySEC.
NAV calculation
Accurate NAV calculation means valuing every holding fairly, accruing fees and expenses and reconciling with custodians before each dealing day.
Fund audits
Every Cyprus fund needs an annual audit by a CySEC-recognised auditor, and well-prepared fund accounting makes the audit faster and cheaper.
Family office structuring
Families can use a Cyprus RAIF, AIF with limited investors or holding company to centralise investments with professional reporting and tax efficiency.
AIFMD compliance
Cyprus AIFMs must comply with AIFMD on risk management, liquidity, leverage reporting (Annex IV) and depositary oversight.
Investor onboarding and AML
Cyprus funds must carry out KYC and AML checks on every investor, keep records and report beneficial owners to the relevant registers.
Re-domiciling a fund to Cyprus
Foreign funds can re-domicile to Cyprus and keep their legal identity, gaining EU passporting and the Cyprus tax regime.
Carried interest tax
Carried interest received by Cyprus fund managers can be taxed at a flat 8% (minimum €100,000 per year) under the special regime for qualifying employees.
Outsourced fund administration
Outsourcing fund administration to an accounting partner gives smaller Cyprus funds institutional-quality reporting without hiring an in-house team.
Crypto and digital-asset funds
Cyprus AIFs can invest in crypto assets, but need robust valuation, custody and AML procedures and early dialogue with CySEC.
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