Texas A&M University School of Law Texas A&M Law Scholarship Faculty Scholarship 1-2013 Creating Cayman as an Offshore Financial Center: Structure & Strategy since 1960 Tony Freyer Andrew P. Morriss Texas A&M University School of Law,
[email protected] Follow this and additional works at: https://scholarship.law.tamu.edu/facscholar Part of the Law Commons Recommended Citation Tony Freyer & Andrew P. Morriss, Creating Cayman as an Offshore Financial Center: Structure & Strategy since 1960, 45 Ariz. St. L.J. 1297 (2013). Available at: https://scholarship.law.tamu.edu/facscholar/23 This Article is brought to you for free and open access by Texas A&M Law Scholarship. It has been accepted for inclusion in Faculty Scholarship by an authorized administrator of Texas A&M Law Scholarship. For more information, please contact
[email protected]. CREATING CAYMAN AS AN OFFSHORE FINANCIAL CENTER: Structure & Strategy since 1960 Tony Freyer* & Andrew P. Morriss** ABSTRACT The Cayman Islands are one of the world's leading offshore financial centers (OFCs). Their development from almost a barter economy in 1960 to a leading OFC for the location of hedge funds, captive insurance companies, yacht registrations, special purpose vehicles, and international banking today was the result of a collaborative policy-making process that involved local leaders, expatriate professionals, and British officials. Over several decades, Cayman created a political system that enabled it to successfully compete in world financial markets for transactions, participate in major international efforts to control financial crimes, and avoid the political, economic, racial, and social problems that plague many of its Caribbean neighbors.