Guernsey's fund sector is expecting increased interest in
its Private Investment Fund following a change in its rules and
guidance.
The move from the Guernsey Financial Services Commission was
announced last week, removing the need for a licensed investment
manager to warrant an investor's ability to sustain financial
loss, replaced by a declaration, which places a lesser burden on
the manager.
"The FAQs provide a most welcome clarification to the PIF
regime which we expect to end any ambiguity about the nature and
extent of managers' responsibilities," said Craig Cordle,
Group Partner at law firm Ogier.
The PIF is based on a close relationship between investors and
managers. Mr Cordle said that the requirement for managers to make
a straightforward declaration to the regulator regarding
investors' ability to sustain losses should not be onerous.
