With assets under administration for US promoters increasing in Jersey, this Channel Island is seeking to capitalise on its role as a gateway to Europe for US asset managers either raising funds in Europe and/or the UK or with a pan-European investment strategy, with the introduction of the limited liability company, or LLC.
Conveniently similar to LLCs in Cayman and Delaware, we anticipate the Jersey LLC will be a popular structuring vehicle for those asset managers already familiar with this type of hybrid entity.
As such, an LLC may be an appropriate vehicle for a range of uses in investment funds structured as Jersey Private Funds, either as the fund vehicle itself, general partner or fund manager, carry vehicle or asset holding entity. Significantly, whilst an LLC is treated as a partnership in Jersey and so will be tax transparent, it is able to elect to be a body corporate and therefore be treated as a company for tax purposes.
For further guidance on the process for establishing an LLC, their key features and tax treatment, read our corporate briefing.
For more information about Jersey Private Funds regime, read our funds briefing.
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.
