JERSEY’S plans to diversify its proposition in the US market in response to the evolution of fund domiciliation and a growing demand for structured finance solutions will be highlighted at a roadshow across the country later this month.
Taking place in Chicago, New York, Miami and San Francisco from 17 to 27 October, the Jersey Finance event – titled Driving Stateside Ambition: The Future of Funds – will focus on the growth of US business flows and how the Island intends to develop its offer for the continent’s asset management market.
It is three years since Jersey Finance opened an office in New York to bolster its visibility in the US market and, since then, the number of US-originated fund structures in the Island has grown by 61%, while the value of US-originated fund assets under management serviced in Jersey has risen by 22%, according to Monterey.
According to Jersey Finance, that growth has been delivered based on the ‘clear premise that Jersey can provide a gateway into Europe for US managers’. A spokesperson for the organisation added that enhancements to Jersey’s limited partnership legislation earlier this year and changes to the EU’s rules around reverse solicitation for non-EU alternative funds had also ‘heightened Jersey’s appeal among US managers’.
Now, an increasing interest in the structured-finance space – which Jersey Finance estimates has led to more than 110 securitisation structures, including collateralised loan obligations and collateralised debt obligations being registered in Jersey in the first half of this year – has prompted the body to promote its growth and diversification message.
Elliot Refson, head of funds at Jersey Finance, said: ‘When we first established our New York office in 2019, our focus was on delivering a clear message that Jersey could provide a straightforward solution for US fund managers wishing to access EU investor capital. That message has landed extremely well, with funds business from US promoters more than doubling over the past five years.
‘We’re now in a position where we can evolve our proposition in the US, and we’re excited to bring our message to new audiences during our US roadshow later this year.’
Philip Pirecki, business development lead for the Americas at Jersey Finance, added: ‘The perception of Jersey in the US, and familiarity with what we do, has definitely shifted over the past three years.
‘That, combined with the challenges faced by other jurisdictions that have been blacklisted, have prompted US asset managers to look at Jersey more, as a certain and stable partner jurisdiction.
‘That has opened up new opportunities for Jersey in the structured-finance space, and we fully expect to see inflows from the US grow further over the second half of 2022 as uncertainty persists in other jurisdictions and as demand continues to grow for these sorts of instruments from EU investors.’
