The flexible and pragmatic approach adopted by the Guernsey
Financial Services Commission (the GFSC”) in relation to
investment funds aimed at the institutional or high net worth
investor market has helped the significant growth of this sector in
Guernsey.
Nowadays, most funds formed in Guernsey tend to be for the
institutional or high net worth individual markets, with hedge
funds, funds of hedge funds, private equity and property funds
being especially popular.
Guernsey is particularly keen to attract high quality hedge fund
business. Since 2003, the GFSC has provided guidance setting out a
more relaxed framework for the operation of hedge funds, which
included waivers of the various fund rules in four key areas.