The private equity sector has grown and diversified substantially since then, with sector specialisations in small, mid- and large capital buyouts, turnaround specialist and increasingly real estate investment. In response to the last boom and bust cycle and the substantial reduction in sources of credit that keep business and investment going, the private equity sector has started to diversify into the provision of credit finance through a number of ways.
From its earliest possibilities in venture capital, especially in the technology sector, Jersey has been closely associated with private equity as a home to the pooled investment vehicles, gathering investors from the UK, Europe and across the globe and seeking opportunities to invest in new ventures wherever they arose. Flexible and appropriate regulation, innovative legal structuring and tax neutrality and transparency all helped to ensure that Jersey was seen as a key location to establish these vehicles. As European private equity investment grew out of these roots, it naturally found its home in Jersey. As a result, investment advisers in the United Kingdom Germany, Switzerland and Scandinavian countries looked to the Island to establish investment funds to pursue these opportunities to create and develop value, jobs and new business. Today private equity and venture private equity and venture capital firms from countries as widespread as the Czech Republic, India and South Africa have created investment vehicles in Jersey.