The total number of registered Jersey Private Funds (JPFs) has grown by almost two-fifths year-on-year, according to the latest figures, as the structure continues to assert its appeal for cross-border alternative fund structuring.
According to the latest quarterly statistics collated by the Jersey Financial Services Commission and published by Jersey Finance, there were 365 JPFs at the end of September 2020, a number that has risen by 37% compared to the same time the previous year.
Launched in 2017, the JPF structure is tailored to the needs of small numbers of sophisticated investors and offers high levels of flexibility, fast-track authorization and lighter touch ongoing regulatory requirements.
Meanwhile, the latest quarterly figures also show that the total value of regulated fund assets serviced in Jersey grew to a new record level of £365.6bn in the third quarter of 2020, up 7% year on year. This was driven by growth in the alternative asset classes, including private equity, venture capital, infrastructure and real estate, which saw growth of 12% over the year.
Commenting on the figures, Jersey Finance CEO, Joe Moynihan, said:
“In the context of the challenging environment for fundraising in 2020, these latest statistics reinforce the appeal of Jersey as a safe location for institutional capital, as investors have sought resilient, stable, robust, transparent and straightforward fund structuring options to continue to generate returns. The Jersey Private Fund in particular has become a real success story and, thanks to its speed to market, flexibility and cost-effectiveness, is now perceived as the go-to vehicle for private capital co-investment and cross-border institutional alternative fund structuring.”
Tim Morgan, Chair, Jersey Funds Association, added:
“Whilst other centres have struggled to keep up to speed as the environment has changed so quickly over the past 12 months, the sophisticated eco-system Jersey provides has proven to be hugely attractive amongst investors. The JPF is a key element of that appeal, complementing Jersey’s pragmatic regulatory environment, access to expertise, and global distribution capabilities. These figures reflect the strong position Jersey is in as we move into 2021 and continue to help investors navigate a challenging landscape.”
You can read more about the JPF structure in our factsheet here.