The recent acquisition of UBS Asset Management's Alternative Fund Services business by MUFG Investor Services underlines Jersey’s enduring strengths as a centre for global alternative funds business, according to Jersey Finance CEO Geoff Cook.
MUFG Investor Services is the asset servicing group of one of the largest banks in the world, Tokyo-based Mitsubishi UFJ Financial Group (MUFG), one of the largest banks in the world with $2.4 trillion in assets. The acquisition, which was completed earlier this month, includes the UBS Alternative Fund Services Jersey team, comprising 29 fund administration specialists, including 16 qualified accountants. The deal forms part of MUFG Investor Services’ strategy to build a global industry-leading fund administrator.
Commenting on the acquisition, Geoff Cook said:
“That the asset servicing division of one of the largest banks in the world has selected Jersey as part of its global strategy is a fantastic reflection of the jurisdiction’s expertise, regulatory environment and substance as an alternative funds centre. MUFG Investor Services is also the first significant Japanese institution to establish a physical presence in Jersey, underlining how well Jersey is perceived in overseas markets.
“Driven by its mature approach to international regulation and its focus on the alternative asset classes, Jersey is seeing real momentum in this area. The most recent third quarter figures for Jersey’s funds industry show that alternatives business including hedge, private equity, real estate and infrastructure funds, grew 11.5% year-on-year, whilst a growing number of service providers and managers are establishing a presence in Jersey.”
As at the end of September 2015, the total net asset value of regulated funds under administration in Jersey stood at £218.8 billion, the third highest level since December 2008.