Glossary · structure

Variable Capital Company

Also known as: VCC

Definition
A Variable Capital Company (VCC) is a Singapore corporate structure introduced in January 2020 specifically for collective investment schemes. It supports both standalone funds and umbrella structures with multiple statutorily-ring-fenced sub-funds.

VCCs were introduced under the Variable Capital Companies Act 2018 to give Singapore a competitive purpose-built fund vehicle. Variable capital allows issuance and redemption of shares without normal company-law constraints. Umbrella structures hold multiple sub-funds whose assets and liabilities are ring-fenced — losses in one sub-fund do not affect the others. The VCC has become the default Singapore-resident fund vehicle for new SG-domiciled funds and family offices applying for 13O / 13U.

Source: VCC Act 2018

Related

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