Jersey Certified Funds – New Prospectus Order

INTRODUCTION

As it currently stands, different legislative regimes apply to the content of a prospectus issued by a Jersey Certified Fund (that is a fund certified under Article 8(B) of the Collective Investment Funds (Jersey) Law 1988 (the 'Law')), depending on the Certified Fund's legal form and whether or not it is open or closed ended.

The current legislation is contained in the Collective Investment Funds (Unclassified Funds)(Prospectuses)(Jersey)(Order) 1995 (the 'UFPO') and the Companies (General Provisions)(Jersey) Order 2002 (the 'CGPO'). Whilst generally fit for purpose, these two orders are now dated and do not provide sufficient regulatory oversight or ease of use for modern funds practice. In particular, the orders do not meet the current IOSCO Methodology requirements and do not apply at all to partnership structures or closed ended unit trusts (although equivalent requirements have generally been applied, by analogy, by the Jersey Financial Services