Guernsey Registered Fund

Key Features

An open-ended registered fund is subject to the Registered Collective Investment Scheme Rules 2008 and the Prospectus Rules 2008.

The main characteristics of a registered open-ended fund are as follows:

  • The fund must be established with the objective of spreading risk. The criteria for the spread of risk must be specified in the fund’s offering document.
  • The Prospectus Rules 2008 make provision for disclosures in the fund’s offering document.
  • There are provisions for both immediate and periodic notifications to the GFSC regarding changes to the fund, as well as financial and statistical information.
  • Registered funds may not be offered to the public in Guernsey.
  • A Guernsey licensed custodian is required (unless derogation is available).

 

Legal Requirements

Requirements

Description

General

  • Corporate  vehicle permitted

Jersey Company,  Incorporated cell company (ICC) or a Protected cell company (PCC), Limited Partnership, Unit trust

  • Local physical office required

No

Share capital or equivalent

  • Minimum paid-up capital

None

  • Minimum investors

None

Directors

  • Minimum number

1

  • Corporate directorship allowed

Yes

  • Local director required

No

Service Providers Required

  • Custodian

Yes (local)

  • Fund manager/Investment manager

Yes

  • Fund administrator

No

  • Auditors

Yes

 

 Tax Treatment

There is no capital, value added or inheritance taxes in Guernsey, nor any stamp or document duties except in respect of Guernsey real property.

With the exception of certain businesses, companies (including funds) now pay a standard rate of 0% income tax on profits. Funds still have the option to apply for exempt company status (on payment of an annual fee of £600).

 

Duration to Set Up

3 months

 

Distinctive Benefits of Licence

  • Robust yet flexible regulatory environment
  • Professional infrastructure and quality of workplace
  • Tax neutrality and Tax Exchange Agreements

 

The Valsen Advantage

  • End to end comprehensive service
  • Speedy and efficient service
  • Expert advice on structuring options
  • Dedicated ongoing compliance support
  • Extensive network pool of service providers