Europe Economics, an independent international research consultancy, has today published a report entitled "Jersey for Institutional investing: A clear choice". The report sets out the reasons why institutional investors (in particular, tax exempt institutional investors such as pension funds, endowment funds and sovereign wealth funds) choose to invest in Jersey funds and structures and supports what those active in the industry have known for some time: that tax neutrality is an important but not sufficient reason for doing business in Jersey. In summary, the main drivers are:
1. Jersey's stability and governance
2. Jersey's proportionate regulatory regime catering in particular for professional investors
3. Tax neutrality enabling the maximisation of investment returns
4. Access to a skilled labour force
5. Overall business cost and ease of doing business
6. Knowledge spillover in the diffusion of knowledge and skills between firms on the island
7. Cost of developing new products to cater for certain investor types
Jersey is a centre of excellence for the establishment, management and administration of all types of investment structures and asset classes, and of investment funds in particular. What we do adds value to investment portfolios and generates costs savings. These factors benefit the ultimate beneficial owners of institutional investors, such as pension fund members which comprise the general public.
We highly recommend the report to managers, advisers and investors alike. A link to the report can be found here: Jersey for institutional investing: A clear choice
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.
