The Private Investment Funds Regime

Introduction

The Private Investment Fund Rules ("PIF") regime was updated by the Guernsey Financial Services Commission ("GFSC") in 2021 to expand the available PIF product options. PIFs are governed by the Private Investment Fund Rules and Guidance (2), 2021 (the "PIF Rules 2021").

Three alternate PIF routes

Under the PIF Rules 2021, there are three alternate routes available for PIFs in Guernsey:

Route 1 – the POI Licensed Manager PIF: This route requires the PIF to have a Guernsey manager that is licensed by the GFSC. All PIFs registered prior to 20 April 2021 continue to be registered under this route.

Route 2 – the Qualifying Private Investor PIF: This is a route that does not require a GFSC-licensed manager. To use this route all investors will have to meet qualifying investor criteria which are designed to ensure investors are restricted to suitably sophisticated investors.