Guernsey is a jurisdiction with a proven track
record in retail funds.
The Island has a first class infrastructure and wealth of
expertise that make it particularly attractive for these
The high quality, flexible package that the Island can offer
is both reassuring and a strong credential for fund
Promoters of Guernsey retail funds include:
In Guernsey there are two classes of open-ended funds for
the retail investor, each with their own specific
These are UCITS equivalent schemes. They closely follow the
rules for UK authorised collective investment schemes and have
comparable levels of investor protection. They can be
registered for sale in numerous countries (see list below). The
presence of an investor compensation scheme provides real
Guernsey Class A Schemes are registered for sale
in: the UK, Australia, Belgium, Hong Kong, Japan, The
Netherlands, The Republic of Ireland, South Africa, Sweden and
These can be strictly private funds or established as retail
products marketed to the public. These funds can have wide
investment and borrowing powers provided there is full
disclosure. Class B schemes are often seen as umbrella funds in
a Protected Cell Company (PCC).
Pragmatic regulation – The
Guernsey Financial Services Commission promotes a pragmatic
regulatory environment for retail funds.
Competitive tax environment –
Retail funds are structured so that they are tax exempt in
Guernsey. No VAT is payable in Guernsey. Class A schemes are in
scope for the EU Savings Tax Directive but investors can select
either disclosure or withholding tax.
IT solutions – Many
administrators have software systems developed specifically for
retail funds, providing effective solutions for both complex
and simple retail fund structures.
Guernsey has modern investment funds legislation and company
Listing – Guernsey retail funds
can be listed anywhere in the world, including on the Channel
Islands Stock Exchange (CISX)
With more than 25 years of experience in retail funds
Guernsey has a pool of dedicated specialists.
Experienced administrators– As well as fund managers and
custodians, Guernsey has more than 45 administrators (many of
them international operations), with a number dedicated to the
provision of retail fund administration services.
Accountingservices– the big four all have large
offices on the Island, in addition to other accounting
Legal expertise – all of the
principal local law firms have specialist retail fund
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