CIMA has also updated its policy on audit waivers for investment funds, notably allowing a waiver for up to six months of a financial year, where all investors agree and there were no more than ten investors during the relevant period. Assessment for exemption from annual audit requirements is made on a case-by-case basis and other circumstances that may qualify for an exemption include where funds have not launched, are unable to raise sufficient capital, or are subject to bankruptcy proceedings, legal or regulatory enforcement actions. 

Under the policy, CIMA may also consider extending a fund’s first audit period or last audit period for a maximum of 18 months. If a fund applies for an exemption for two consecutive years then further information will be required regarding its inability to produce audited accounts.