Guernsey has long been one of the world's premier jurisdictions for domiciling investment funds, with approximately
£250 billion of assets under management and administration on the Island (as at 30 June 2016). Of those assets there is a wide range, including hedge funds, private equity, debt and property funds.
Advantages of Guernsey as a Jurisdiction for Funds
The advantages of Guernsey as a fund jurisdiction include:
- internationally recognised and reputable jurisdiction;
- experienced professional legal and accounting infrastructure;
- experienced and wide-ranging fund administration across a range of asset classes;
- thorough and pragmatic regulation by the Guernsey Financial Services Commission ("GFSC");
- straightforward regulatory application and authorisation process;
- tax-neutral environment for funds;
- Channel Islands Securities Exchange ("CISE") based in Guernsey;
- close geographical proximity to London and continental Europe;
- outside the European Union but with the option to privately place funds into Europe or to opt into an AIFMD equivalent regime;
- London time-zone; and
- availability of innovative corporate vehicles, namely protected cell companies ("PCCs") and incorporated cell companies ("ICCs").
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.