The global fund finance market has shown much resilience over
the last 18 months. In this article, our team offers their thoughts
and insights on the recent developments in Guernsey's fund
finance market.
Security
Whilst a typical subscription facility security package in
Guernsey consists of the usual security over capital call rights
and the account(s) into which capital contributions are deposited,
we have recently advised on fund finance transactions where
alternative security packages have been put in place, which are, in
some instances, novel in Guernsey. Some examples include:
- security over distribution rights arising under the fund's
limited partnership documents, coupled with a contractual ability
for the lender to be registered as a limited partner of the fund
should it so require; and
