DMS Executive Director
Nicholas Parkes was interviewed by the magazine Andy a
Luxembourg for its December 2015 issue.
DMS pioneered the professionalisation of fund directorship
services in the Cayman Islands. Now, says Luxembourg head Nick
Parkes, it has grown into a global group that sees strong
opportunities for alternative investments in the grand
How did DMS become the world's largest dedicated fund
DMS has been active as a provider of services to investment
funds for the past 14 years, starting out as a provider of
directors in the Cayman Islands, where we remain the dominant
player in the market. We institutionalised the directorship
business by hiring well-qualified people and providing them with
the services they needed to carry out their duties, such as IT
support. Over the year, DMS developed new offerings including
corporate services, FATCA support and risk management, extended its
business to Europe, and launched a management company platform.
Today we employ over 225 people in Grand Cayman, Luxembourg and
Dublin as well as business development centres in Hong Kong, New
York, São Paulo and London and offer a full range of
services, especially to alternative funds. However, DMS remains a
pure player focused on governance, unlike competitors that risk
conflicts of interest because they also provide fund
What services does your platform offer?
Our Super ManCo platform enables external managers to set up
both UCITS and AIFMD vehicles as sub-funds, access a wide range of
information and delegate functions such as EMIR reporting and risk
management; we also provide ManCo services to clients outside the
platform. We provide experts both as directors and areas such as in
distribution, and use state-of-the-art technology to facilitate our
clients' business, resolve their problems efficiently and
provide them with market knowledge, wherever they may be in the
world. The days are gone when directors could carry out their
duties using an Excel spreadsheet on a laptop at the kitchen table.
There is the issue of liability – everything has to be
recorded and kept secure, which requires significant
What opportunities do you identify for the future?
Within the group we will continue to invest in people and IT,
because scale is critical in our industry. We are ambitious about
prospects in Luxembourg, which continues to attract new UCITS and
alternative fund business – and we believe the hedge fund
sector could grow, thanks to the strong brand Luxembourg enjoys
among clients in France, Switzerland and Germany for example. We
actively encourage our clients to use Luxembourg as a centre of
excellence for their business, as an ideal market for setting up
funds and accessing European investors, and where they can call on
independent expertise in areas such as risk management capabilities
are critical for alternative. We also see opportunities among
leading US fund firms that want to sell in Europe and need local
support and expertise.
On the 9 September 2016 the MFSA issued feedback to its consultation of the 1 April 2016 in relation to intra-group loans.
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