Jersey Financial Services Commission (JFSC) is to streamline its authorisation regime for listed inv...
Jersey Financial Services Commission (JFSC) is to streamline its authorisation regime for listed investment funds.
This means investment funds listed on the Channel Islands Stock Exchange will now be subject to a 72-hour approval procedure. The funds include private equity, property and other alternative investment vehicles such as hedge funds and funds of hedge funds. It also applies to closed-ended funds.
The industry is also consulting on extending this regime to Jersey limited partnerships and unit trusts at a later date.
The proposals will operate on a similar fashion to the existing expert fund regime, except there will be no selling restrictions attached to these investment funds.
The JFSC said for funds to be considered for 72-hour approval they had to meet a number of criteria to ensure investor protection. This included satisfying the JFSC's principles of corporate governance, possessing an investment manager with appropriate experience, which is regulated in its home jurisdictionand having a majority of independent directors on the board.
Gary Clark, chairman of the Jersey Funds Association (JFA), said: "The commission intends to publish its proposals in a Jersey Listed Fund Guide, prepared in consultation with the JFA, later this month. The intention is to introduce the regime officially before the end of the year.
"We have consistently indicated that, while the expert fund regime has been a significant success for the funds industry with more than 250 expert funds now established in the island since its launch in 2004, Jersey must continue to innovate and enhance its funds regime. The listed fund guide is the latest initiative."
l Meanwhile, John Harris has been appointed director general of the JFSC, following the retirement of David Carse. Previously, Harris was director of international finance in the chief minister department of the States of Jersey, where he advised ministers on regulation and the development of the finance industry. key points
JFSC to streamline authorisation for listed investment funds
Proposals operate in similar fashion to expert fund regime
Funds have to meet criteria to ensure investor protection
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