CySEC Announces Dissolution and Liquidation of Cascade 5 and Cascade 6 Investment Compartments

CySEC Updates Market on RAIF Compartment Liquidations

The Cyprus Securities and Exchange Commission (CySEC) has officially announced that the external manager of CASCADE INVESTMENT FUND RAIF V.C.I.C. LTD, Argus Management Ltd, has initiated procedures for the dissolution and liquidation of two specific investment compartments: CASCADE 5 and CASCADE 6. This development falls under article 138(7)(a) of the Alternative Investment Funds Law of 2018.

Cascade Investment Fund RAIF V.C.I.C. Ltd is registered as a Registered Alternative Investment Fund (RAIF) in Cyprus under registration number RAIF100, holding the Legal Entity Identifier (LEI) 529900X0D9RYBFOHTL27. Headquartered at Christabel House, 118 Agia Fylaxis, 3087 Limassol, the fund has maintained an active entity status since its incorporation in April 2019 (HE 396606), formerly operating under the name VC Cascade Ventures RAIF V.C.I.C. Ltd.

What the Liquidation Process Involves

According to regulatory procedures outlined by CySEC, the dissolution and liquidation of compartments does not happen overnight. Until the liquidation process is fully completed:

• The Cascade 5 and Cascade 6 compartments will remain listed in the official RAIFs Registry.
• Both compartments will continue to be displayed on CySEC’s website, clearly marked with the statutory notice stating “under liquidation”.
• The external manager remains responsible for fulfilling all necessary legal and administrative requirements to finalise the winding-down procedure.

Once the liquidation of these compartments is successfully concluded and all required documentation is formally submitted to the regulator, CySEC will proceed to officially delete Cascade 5 and Cascade 6 from the RAIFs’ Register, pursuant to article 138(9) of the Alternative Investment Funds Law of 2018.

Market Context and Regulatory Implications

For investors and market observers in Cyprus, this announcement underscores the robust regulatory oversight maintained by CySEC over Registered Alternative Investment Funds. RAIF structures in Cyprus offer considerable flexibility and speed-to-market, as they are not directly authorized by CySEC but rather managed by authorized entities like Argus Management Ltd. However, the regulatory framework maintains strict transparency standards during structural changes, including partial liquidations or the winding-up of individual compartments.

While the broader Cascade Investment Fund RAIF V.C.I.C. Ltd structure remains active, the specific winding down of Cascade 5 and Cascade 6 highlights standard lifecycle events for multi-compartment investment vehicles. Investors holding positions in these specific compartments should liaise directly with the external manager, Argus Management Ltd, regarding asset realization timelines, distribution procedures, and any further updates pertaining to the ongoing liquidation process.

This article covers an official CySEC announcement. For more information, corrections or tips, contact report@cyprus-insider.com.