Guernsey: Guernsey At Cutting Edge Of Innovative Fund Launch
Last Updated: 19 November 2009

Guernsey’s leading position as a jurisdiction of choice for new and innovative funds has been strengthened with the launch of a new scheme that invests in the collectables market.

Launched by investment advisory boutique Emotional Assets Management & Research LLP (EAMR), the Guernsey-domiciled ‘Emotional Assets Fund 1 Limited’, will invest in a diversified set of ‘Emotional Assets’ across some 15 sectors of the collectables market, from fine art and rare stamps to vintage jewellery and rare manuscripts.

It is the first time that exposure to a broad and diversified range of emotional assets has been achievable via a single fund vehicle.

Kleinwort Benson has been appointed as the administrator and financial custodian of the Guernsey Closed-Ended Authorised Fund, with Bedell Cristin as the Guernsey legal advisor.

The Emotional Assets Fund 1 seeks to provide qualified investors with an opportunity to achieve long-term capital appreciation through investment in Emotional Assets. Its objective is to deliver a stable target growth rate of 15% per annum, with predictable volatility – at the same time preserving capital.

Bernard Duffy, Managing Director of EAMR, said: “We chose to domicile the fund in Guernsey as it is such a user-friendly jurisdiction; it has robust legal system, a favourable tax neutral regime and excellent on-island administrators. Kleinwort Benson has a good reputation within the alternatives market, with specific experience in alternative asset classes, and has a hands-on approach to bringing on clients which helps the whole process.

“At a time when conventional investment wisdom is being challenged and investors are questioning the investment merits of a range of assets, Emotional Assets are emerging as a viable and mainstream asset class.”

Joe Truelove, Head of Business Development for Corporate Clients, Kleinwort Benson, is pleased to see the year-long project come to fruition.

“It was obvious to us when we met EAMR at the very outset that we were working with something very exciting and totally unique. It has certainly been a difficult time for fund launches in the current economic climate, but this is an example of what can be achieved with a bit of innovation and agility. We are experienced in dealing with esoteric alternative asset funds, for instance Kleinwort Benson is the administrator to Philip Hoffman’s Fine Art Funds,” he said.

Christopher Anderson, Partner and part of the legal team from Bedell Cristin, Guernsey, added: “We are pleased to have been involved with this innovative investment fund. The Guernsey authorised qualifying investment fund (QIF) regime, and the rules applicable to close ended vehicles, are ideal for this type of structure. It is pleasing to see that clients recognise the benefits and flexibility of the QIF regime."

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Press Releases from this Firm
Recent Content from this Firm
By Dominic Wheatley
By Annette Alexander
By Sally French
By Iris Harvey
By Dominic Wheatley
By Dominic Wheatley
By Julia Wilkes
By Simon Heggs
By Paul Bannier
By Dominic Wheatley
Font Size: