Jersey: A Clear Choice for South African Fund Managers

As Africa’s economic landscape evolves, access to international capital remains critical for development. South African fund managers, in particular, seek efficient and well-regulated jurisdictions to structure their funds, diversify their investor base and attract global investors.

For decades, Jersey has been a jurisdiction of choice for African investors, offering a robust platform for cross-border investment, world-class regulatory frameworks, and seamless access to EU and UK markets.

As a leading international finance centre (IFC), Jersey plays a pivotal role in fostering economic growth across Africa, while providing stability, tax simplicity and cost efficiency for South African fund managers.

The demand for diversified and protected assets is driving clients to jurisdictions like Jersey, which offers a tax neutral environment and extensive experience in alternative asset classes such as private equity, venture capital and infrastructure funds. In 2024, Jersey’s total funds business was valued at US$700.2 billion.

Jersey acts as a bridge for European capital-raising and inward African investment, with South Africa ranking fifth as the country of origin for the total number of Jersey-domiciled funds.

For more than 60 years, Jersey has been at the forefront of fund services, setting itself apart as a reputable, centrally located jurisdiction which overlaps with both east and west time zones, for investors from key global markets.

Jersey’s longstanding ties with Africa are reinforced by strong political, commercial and cultural connections.

Over the years, the Island has supported both inbound and outbound investment for private and institutional investors. Acting as a bridge between capital raising in Europe and investment in Africa, Jersey’s combined financial services sector allocated £30.6 billion of capital from Africa in 2020 (Jersey’s Contribution to Global Value Chains, Cebr 2021).

Jersey’s intermediary role also ensures that capital flows efficiently into critical sectors such as infrastructure, energy and technology, contributing to Africa’s long-term economic growth.

While there are opportunities for Jersey to support investors in South Africa, it is worth adding that such opportunities are mutually beneficial. Research shows that the capital intermediated through Jersey equates to £6 billion of Africa’s GDP annually during the period studied (2017 – 2020) and supports more than 900,000 jobs in Africa. (Jersey’s Contribution to Global Value Chains, Cebr 2021).

For more than two decades, South African financial institutions – including Standard Bank, Alexander Forbes, Ashburton Investments, Investec and Nedbank, to name a few – have maintained a presence in Jersey, reflecting the mutually beneficial relationship.

Several prominent South African fund managers, including well-known names such as Melville Douglas, EduInnov8, and Knife Capital, are also present in Jersey.

There are currently 80 domiciled funds of South African promoter origin in Jersey, which represent about 5% of the total number of funds held on the Island. Frequent travel and business exchanges between South Africa and Jersey reinforce these connections, with direct flights to major UK hubs enabling efficient travel for professionals and clients alike.

The collaborative relationship between Jersey and South Africa has fostered a robust platform for cross-border financial solutions, underpinned by Jersey’s expertise as an IFC with a global outlook. As demonstrated through Jersey’s facilitation of over £1.4 trillion in global capital, the jurisdiction significantly contributes to international economic output—an estimated £170 billion (Jersey’s Contribution to Global Value Chains, Cebr 2021). Jersey’s proven expertise in international finance, coupled with its stable regulatory environment and deep ties to Africa, makes it an ideal choice for South African fund managers.