Guernsey Fund Business Grows in 1996

1996 was a busy year for Guernsey's fund management sector with 21 new open ended funds and 57 new classes of umbrella schemes authorised and 29 closed-ended funds granted consent. The number of collective investment schemes totalled 337 (up two from the previous quarter) and the number of unit or share holders reached an all time high of 116,390.

The total value of funds under management at 31 December 1996 amounted to £13.4 billion, an increase of 4.3% over the year.

In the open-ended sector, the value of funds under management at year-end was approximately £9 billion, up 7.2% over the year but down 8% from the previous quarter. This fall was due to the high number of suspensions (18) at their managers' request and the effects of the strengthening of sterling on the world's foreign exchange markets. Five new funds were authorised in the quarter, comprising an India fund, two Russia funds, an emerging markets securities fund and a hedge fund of funds. The funds