Guernsey, the specialist alternative funds jurisdiction, has introduced a fast-track system for migrations of investment funds and their managers into the island.
The new regime will allow managers seeking the security of a jurisdiction white-listed by the European Union and OECD for economic substance, to move quickly and easily.
Rupert Pleasant, Chief Executive of Guernsey Finance, welcomed the move: "This development builds on the reality of Guernsey's strengths which have become evident during the emergence of these international rules and arise as a result of a considered approach to exploit the actuality of our substance, and is a central tenet of our strategy," he said.
"Companies and fund managers today should look to jurisdictions that can and have met these new global standards. Guernsey has always had genuine substance in financial services. Our whitelisted position genuinely sets us apart from other jurisdictions which have not met these criteria, and we will continue to build on this position of strength."
The new fast-track application regime for managers of Overseas Collective Investment Schemes introduced by the Guernsey Financial Services Commission will make it simpler to apply for a Guernsey licence, enabling consent to migrate and the licensing process within a 10-day review period.
The Commission has a suite of fast track application regimes, including registered funds and private investment funds, with applications based on declarations from a licensed administrator.
Emma Bailey, Director of Authorisations and Innovation Division at the GFSC, said: "Following liaison with industry, the Commission is pleased to be introducing this new regime which seems to us to be a natural fit with our current fast track regimes by simplifying the established processes of migrating and licensing within the Bailiwick a manager of overseas collective investment schemes."
GFSC Director General William Mason said: "We have been informed that some managers with already-established good quality funds may wish to redomicile to the Bailiwick, to take advantage of its skilled investment professionals, its fiscal and legal stability and its highly rated systems for combating financial crime. We hope that these managers will find the fast track we are launching today helpful."
The Guernsey Investment and Funds Association (GIFA) was involved in the development of the new regime.
GIFA president Christopher Jehan said: "Our members have already seen a significant number of inquiries following the introduction of substance requirements, as managers recognise Guernsey's position of real substance with a high quality fund administration sector and substantial pool of non-executive directors, which compares very favourably with some of our competitor jurisdictions. This new regime demonstrates our ongoing ability to react to the needs of our potential clients - it is a very welcome development and I am sure will be well-used."
Information for applicants, including a link to the new application form, can be found here: https://www.gfsc.gg/news/article/new-fast-track-application-regime-managers-overseas-collective-investment-schemes.
Originally published 12 June 2020.
For more information about Guernsey's finance industry please visit www.weareguernsey.com.
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