Custom Investment Fund Solutions

The legal regulation of collective investment undertakings in Lithuania determines the forms of activities of the respective investment funds or investment companies and their managers, the conditions of their establishment, the conditions for the issuance of licenses or licenses, the mandatory disclosure of information to investors, etc. The aforementioned collective investment undertakings may be designated investors, professional investors, and may be of the harmonized or special type.

In the country, the most common and favorable regulatory framework is found in collective investment undertakings operating in accordance with IISKISI. Undertakings for collective investment in the form of an investment fund or an investment company may operate under the IISKISI. Mutual funds or investment companies may also be of the open-ended or closed-ended nature.

Collective investment undertakings in Lithuania are subject to a particularly favorable tax regime - the investment fund is exempt from tax under current legislation.

When an investment company obtains a permit from the Bank of Lithuania to operate under IISKISI and is recognized as a collective investment undertaking, it shall be subject to the same tax treatment as an investment fund. In this way, the management services of the collective investment undertaking (authorized by the collective investment undertaking) are exempt from VAT.

In 2014, Synergy Finance established the first investment company in Lithuania based on IISKISI and currently manages 13 different types of funds and investment companies with total assets of about 90 million EUR.