The number of Jersey funds marketing into Europe through
national private placement regimes (NPPRs) under the EU Alternative
Investment Fund Managers Directive (AIFMD) has broken through the
200 barrier (June 2015), underpinned by strong combined
performances in Jersey's alternatives sector where net asset
values under administration rose 15% on the previous year.
According to latest figures (June 2015) from the Jersey
Financial Services Commission (JFSC), 205 Jersey funds are now
being marketed into Europe through private placement regimes, an
increase of 10% on December 2014, whilst 84 fund managers have now
received private placement authorisation, up 40% over the previous
Meanwhile, further statistics collated by the JFSC show that the
net asset value of all regulated funds under administration in
Jersey grew by around 9% year on year as at June 2015 to stand at
Ł218bn, and that the fund formation rate remains strong with
on average one fund being established in Jersey every week during
the first half of the year.
In particular, the alternative asset classes grew 15% annually.
Hedge fund business grew by 31% year-on-year, real estate funds
business was up by 16% annually, and private equity maintained a
steady yearly increase of 2%.
Whilst Jersey's current marketing route into Europe via
national private placement regimes looks likely to remain in place
until at least 2018, the European Securities and Markets Authority
(ESMA) announced in July that it was recommending Jersey should be
included in the first wave of 'third non-EU countries'
whose managers could seek authorisation for a passport to market
their alternative investment funds to professional investors
throughout EU Member States.
Geoff Cook, Chief Executive, Jersey Finance, commented:
"Whilst of course the endorsement from ESMA in July was a
significant development for Jersey's funds community, it's
extremely pleasing that at the same time managers and promoters are
continuing to find appeal in the 'business as usual'
private placement route. With private placement expected to remain
in place until at least 2018 and the potential to activate the
AIFMD passport in Jersey in due course, the evidence all points to
genuine confidence in Jersey for the management, domiciliation and
servicing of funds across a range of strategies and target
Ben Robins, Chairman, Jersey Funds Association, added:
"These figures underline Jersey's role as a specialist
centre for alternative funds, with the emphasis Jersey is placing
on high quality rather than high volume business paying real
dividends. The value of funds under administration is growing
whilst fund formation, by both established and new promoters, is
looking strong again this year, and we fully expect this trend to
continue, particularly with the growth we are seeing in other
alternative asset classes including debt, credit and infrastructure
funds as well as hedge, private equity and real estate."
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