Valsen Corporate

Jersey Unregulated Fund

Key Features           
An Unregulated Fund is a Jersey domiciled fund which is either to be offered to certain eligible investors only or is listed on an approved exchange or market and opts out of regulation as a fund in Jersey. There are two types of Unregulated Funds: Unregulated Eligible Investor Funds and Unregulated Exchange Traded Funds.
Following the implementation of the AIFMD, it is no longer possible to actively market Jersey Unregulated Funds in the EEA where such funds or their managers are subject to AIFMD authorisation (unless national transitional provisions apply). Existing Unregulated Eligible Investor Funds have the option of converting to a new product known as the Jersey Eligible Investor Fund, subject to the relevant application process and the eligibility criteria so that they may continue their marketing activities in the EEA under EEA private placement regimes.
Key Features of an Unregulated Fund
Unregulated Eligible Investor Fund

  • An Unregulated Eligible Investor Fund may only be offered to Eligible Investors.
  • It may be open or closed-ended.
  • It may take the form of a Jersey company, Jersey limited partnership or unit trust.
  • It may be listed but only on exchanges or markets that permit transfer restrictions to ensure that only Eligible Investors may acquire the securities or interests.
  • The JFSC’s Promoter Policy does not apply.
  • There is no requirement for Jersey audit sign-off.

Unregulated Exchange Traded Fund

  • It must be a closed-ended fund listed on an exchange or market approved by the JFSC.
  • The exchanges and markets approved by the JFSC for this purpose include the London Stock Exchange, AIM, the Irish Stock Exchange and The International Stock Exchange (previously called the Channel Islands Stock Exchange) (see below for the full list).
  • It may take the form of a Jersey company, unit trust or Jersey limited partnership.
  • The JFSC’s Promoter Policy does not apply.
  • There is no requirement for Jersey audit sign-off.
  • Unregulated Funds are not Certified Funds and therefore the Certified Funds Code is not applicable.

Legal Requirements

Requirements

Description

General
  • Corporate  vehicle permitted

Jersey Company, Limited Partnership, Unit trust
  • Local physical office required

No

Share capital or equivalent
  • Minimum paid up capital

USD 1,000,000 (Unregulated Eligible Investor)
  • Minimum investors

None

Directors
  • Minimum number

1
  • Corporate directorship allowed

Yes
  • Local director required

No

Service Providers Required
  • Custodian

No
  • Fund manager/Investment manager

Yes
  • Fund administrator

No
  • Auditors

Yes

 Tax Treatment
Non-resident income is tax exempt.

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