Jersey for Private Equity

Unlike other jurisdictions, Jersey offers easy and cost-effective marketing within the EU through National Private Placement Regimes (NPPRs). When targeting investors outside the EU, Jersey is not subject to the Alternative Investment Fund Directive (AIFMD) as we are not an EU member state.

Our flexible funds regime caters to all investor requirements. It offers a sliding scale of regulation and cost. The recently introduced Jersey Private Fund allows funds with up to 50 investors to take advantage of a fast track authorisation process and lighter ongoing regulatory requirements, in as little as 48 hours. This is proving very popular.

We provide exceptional standards of specialism and service. Jersey is home to a large number of major and boutique fund administrators, offering comprehensive support through a broad range of fund administration services, including company secretarial, compliance, accounting and investor reporting. Alongside this pool of expert fund administrators are lawyers and auditors, together with a host of professional non-executive directors, with extensive knowledge and experience. There are already more than 120 asset managers with a strong office presence in Jersey and this number is growing steadily.

A statutory charity test determined by the Charity Commissioner for all registered charities, which guarantees that a registered charity can only have charitable purposes (or purposes that are purely ancillary or incidental to any of its charitable purposes) and must provide public benefit.

As a forward-thinking jurisdiction, Jersey offers a wide range of vehicles and fund types. Private equity funds are commonly structured as Jersey limited partnerships because they provide considerable flexibility in the structuring and operation of the funds and, importantly, offer both tax transparency and limited liability for limited partners. All regulation of funds in Jersey is appropriate to the risk of the structure and the type of investor.

We’re focussed on developing our funds regime for the future and on providing innovative solutions. In an ever-changing international regulatory and legislative landscape, our funds regime reacts with agility, offering fund managers vital flexibility and the full spectrum of fund options they need.

Jersey is a perfect base for listing funds on international exchanges from New York to Hong Kong and, of course, London, our close neighbour. We also offer easy access to the Channel Islands’ own exchange, The International Stock Exchange (TISE).

Jersey has a clear and simple tax-neutral system that sets us apart from other countries. Tax is paid where it needs to be. The funds do not pay tax, the investors pay all the correct tax to their respective governments. There is no double or triple taxation of funds and investors. Our tax model simply allows investors to work together more efficiently.

Jersey provides a ‘no change’ solution for access to UK investors, as Jersey’s access to the UK is guaranteed under its UK Private Placement Agreement there. Jersey has never been part of the EU but has excellent, longstanding bilateral relationships with its Member States and established European market access arrangements. Therefore, Jersey’s financial services industry has continued to operate in both the UK and EU after Brexit, as it did before.

Overall, it’s Jersey’s forward-thinking approach, robust regulatory framework, and political and economic stability that makes us one of the world’s leading IFCs. Also, we are in the same time zone as London and less than an hour’s flight away. Our data centres are world-class, while our high-speed and high-bandwidth communication links allow us to operate and integrate internationally. Last but not least, Jersey has an outstanding coastal environment and quality of life for those looking to relocate.