Article by Sean Costello Head of Business
Development for India and the Gulf Cooperation Council, Jersey
To continue building business with clients and professional
contacts in India, we recognise that it is vitally important to
establish a permanent presence there as well as provide a
commercial framework that meets the needs of Indian based investors
and their advisers.
The launch of our representative team in Mumbai and New Delhi,
the interaction at senior government level and the continuing
dialogue between regulators are all part of that ongoing process.
It is also crucial that Jersey keeps its legislation and
regulations under review and, whilst maintaining robust standards,
we are eager to innovate in these areas to enable international
investment to be facilitated.
The new Cross Border Merger Regulations, which will permit
companies incorporated in Jersey to merge with foreign companies
and other bodies incorporated outside Jersey, are an example of
this and offer an enhancement which will assist Indian investors in
their strategic decisions in identifying suitable vehicles when
investing in Europe. We know there is huge interest in Indian
businesses expanding internationally but there is also a need to
recover and repatriate the profits made from that capital
investment back to India. These amendments using a Jersey company
make that process far easier to achieve.
The finance industry in Jersey invests heavily in such
improvements to its legislation and works closely with the
authorities and with the Jersey Regulator. Amongst other
developments which will be outlined to our intermediary contacts in
meetings this year are:
Changes to Partnership Law
Jersey has introduced Separate Limited Partnerships and
Incorporated Limited Partnerships. These new vehicles widen the
choice in the funds sector and in structured finance. The range of
possibilities that the new partnerships will bring, with their
variations of legal personality and asset ownership, combined with
commercial flexibility, will further enhance Jersey's appeal as
a domicile for fund and finance vehicles.
Jersey's Foundation vehicle has added to the options available
for those considering wealth management strategies for families and
high net worth clients. Through the concept of 'a
guardian', which is one of its features, it has introduced a
greater element of corporate governance oversight than exists in
similar structures in some other jurisdictions. Jersey Foundations
have a wide appeal, particularly for those who remain unfamiliar
with the trust concept.
Alongside these developments, Jersey continues to grow its fund
administration services, wealth management services and its
capabilities as a listing provider on worldwide exchanges using the
Jersey holding company. The thriving funds sector is supported by a
flexible regime for professional investor funds, including a Feeder
Fund that is recognised and marketable in the European Union and
the Gulf, unlike similar fund vehicles provided by some competitor
Throughout the global financial crisis, Jersey has remained a
strong, stable partner for international business, acting as a
conduit for the distribution of capital to the world's leading
finance centres and as a gateway to European markets. As the global
recovery continues to gather pace led by the emerging economies,
Jersey's legal and finance practitioners, working from a
jurisdiction of substance with high standards of corporate
governance, are well placed to build on their long established
commercial ties with clients throughout India.
Jersey Finance's new representative team in Mumbai and New
Delhi will act as a hub to enable us to communicate that depth and
range of our financial services and the wider uses of some of
Jersey's investment structures.
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.
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