Rise In Insolvency Petitions In Hedge Fund Haven A Troubling Sign

Insolvency petitions spiked more than 30% year over year in the Cayman Islands, as 2013 was a year when investors started to grow impatient with fund managers who domicile on the island. 

The increase reversed a downward trend in the number of insolvency petitions filed in 2011 and 2012 that had followed high numbers in 2009 and 2010 driven by the global financial crisis, according to Appleby Global, which provides hedge fund administration services and is headquartered on the Caribbean island known for its positive tax treatments and beautiful...