Mind And Management

The GFSC has established a criteria for Mind and Management that applicants must satisfy to be successful in securing and retaining a financial services licence.

The GFSC will not issue a licence unless it is satisfied that the applicant meets the criteria set out below.

Licensed firms must ensure that the Mind and Management of the business is conducted from its office in Gibraltar, and that the firm can evidence this. Where firms provide services to customers in jurisdictions outside Gibraltar the firm should be able to continue to demonstrate that its Gibraltar office complies with the GFSC’s Mind and Management requirements.

In order to evidence that the Mind and Management principle is being complied with, the firm must evidence that at least the following are being conducted from its Gibraltar office, by staff permanently based in this office:

  • decision making pertaining to the running of business on a day to day basis
  • approval of operational policy and guidelines
  • approval of key deviations from standard company policy and guidelines
  • approval of significant expenditure items
  • approval and sign off of key contracts, including outsourcing arrangements
  • approval of all major expenditure incurred by the company.

In addition they must:

  • have access to all accounting records of the firm at all times and oversee the production of management accounts and statutory returns; and
  • be able to furnish the GFSC with information that it requires regarding the day-to-day running of the company in a timely manner, including information processed by other parties under any outsourcing agreement.