115 AIFMs have been authorised by the Jersey Financial Services Commission (JFSC) to market funds in Europe through national private placement regimes under the Alternative Investment Fund Managers Directive (AIFMD), a rise of 11% on the December 2015 figures. The JFSC also confirmed that 251 Jersey alternative investment funds were being marketed in Europe, a 9% rise. The value of Jersey’s investment funds sector rose to its second highest since 2008 with significant increases in the private equity and real estate sectors.
The release of these figures follows the publication of advice by the European Securities and Markets Authority (ESMA) to the European Commission confirming that there are no obstacles to Jersey AIFMs obtaining a passport to market their funds into Europe. The advice reiterated ESMA’s opinion expressed in July 2015 that there were no obstacles regarding investor protection, market disruption, competition and the monitoring of systemic risk in the Channel Islands impeding the application of the passport in Jersey or Guernsey. The advice also provided ESMA’s positive assessment of the capacity of the JFSC (in Jersey) and the Guernsey Financial Services Commission (in Guernsey) and their track record in ensuring effective enforcement and the expected inflows of funds by type and size into the EU from either of the Channel Islands.
In addition to Jersey and Guernsey, ESMA also gave positive assessments of the extension of the AIFMD passport to Canada, Japan and Switzerland.