Under the CIS (Collective Investment Scheme) at the AIFC, the same person is usually formally allowed to act as a director of both the fund and its management company.

However, such duality of functions is associated with a number of potential situations that are worth paying attention to.

In our opinion, if one and the same person combines the functions of the director of the management company, the director of the fund (and the fund administrator, as in the case under consideration), a whole range of functions are mixed up in one individual, who at the same time has the functions of making investment decisions and managing investment funds, determining and bearing the administrative costs of the fund, organizing and conducting activities, and managing the finances of the management company.