Jersey And The Alternative Investment Fund Managers Directive ("AIFMD")

Jersey is outside the European Union and regarded as a "third country" for AIFMD purposes. Jersey has implemented an AIFMD regime only to the extent necessary to allow Jersey funds and Jersey managers to access investors in EU/EEA countries.

The AIFMD regulation in Jersey overlays the existing regime to provide maximum flexibility for Jersey funds (and other non-EU funds) with a Jersey Manager:

• Outside AIFMD – where the fund is not an "AIF" or is not "marketed" into the EU/EEA (as defined din the AIFMD), the fund and its manager are not subject to Jersey's AIFMD implementation regime.
• Article 42 requirements only – the fund can be "marketed" into the EU/EEA through national private placement ("NPP") regimes by complying with only the requirements of AIFMD Article 42 (annual reports, pre-investment disclosure and regulatory reporting on liquidity, risk management arrangements and leverage). This reduces costs as other AIFMD requirements do not apply, including