By Yusra Sarkar
Last week, the Jersey Financial Services Commission (‘JFSC’), announced the 2019 fourth quarter figures for the jurisdiction which covers key data for the banking and fund sectors.
Jersey funds: ending 2019 on a high
Jersey has long been a competitive jurisdiction. Traditionally associated with private wealth structuring, today the Island is also known as an international centre of excellence for fund administration. With Brexit having caused so much continued uncertainty throughout 2019, Jersey, has offered something of a safe haven and the JFSC’s figures show the fund industry in particular continues to thrive.
The JFSC reported that net assets of Jersey funds stands at some GBP 345 billion – up more than GBP 25.8 billion since the beginning of 2019. In particular, venture capital, PE, RE, private equity and hedge funds performed well over the year. The strong figures underline the sought-after and competitive status of Jersey regulated funds.
Jersey: successfully diversifying and strengthening the financial services sector
As a jurisdiction, Jersey has been particularly dedicated to thinking long-term and delivering tangible solutions that support the further diversification of its financial services industry and wider real economy in an effort to become a jurisdiction of choice. Last year’s announcement that the Island would grant a licence to harvest hemp flowers for CBD oil shows one such way that the authorities are exploring new industries and developing their economy in ways that will open up new revenue streams, eventually either supporting or supplementing the island’s thriving financial services industry.
The stable political environment and very proactive regulatory and governing bodies make Jersey a very popular jurisdiction with ZEDRA’s clients, regardless of whether they require fund establishment or administration, corporate structures, or services relating to private wealth.
ZEDRA Jersey’s clients are global, but there are certain trends: the jurisdiction is particularly popular for Middle Eastern (U)HNWI clients, who often want to structure their wealth in the Channel Islands. The Channel Islands are also generally popular with British citizens, or those who have close links with the UK, perhaps having been schooled in the country, or after having worked in Britain for a number of years.
ZEDRA Jersey’s clients require a variety of services, some of which are stand-alone, or which may overlap as part of more far-reaching services to support a family or wealthy individual with a variety of needs, along with their advisors. This could mean, for example, a wealthy family wants to set up a private fund in Jersey, while also engaging ZEDRA to set up a trust or foundation. ZEDRA have the capability, skills and team in place to be able to provide these very different services to the same individual or family as part of a holistic approach to supporting them.