JERSEY Law and Practice Contributed by: Nienke Malan and Christopher Griffin, Carey Olsen
2.3.8 Marketing Authorisation/Notification Process Please refer to 2.3.6 Rules Concerning Market- ing of Alternative Funds . 2.3.9 Post-Marketing Ongoing Requirements Please refer to 2.1.4 Disclosure Requirements . 2.3.10 Investor Protection Rules Please refer to 2.1.3 Common Process for Set- ting Up Investment Funds and 2.2.3 Restric- tions on Investors . Any ownership and other restrictions imposed on funds will depend upon the regulatory classification of the fund, rather than its structure. The JFSC Certified Fund Code of Practice requires a Regulated Fund to: • conduct their business with integrity; • always act in the best interests of unitholders; • organise and control its affairs effectively for the proper performance of its activities and be able to demonstrate the existence of adequate risk management systems; • be transparent in its business arrangements with unitholders; • maintain, and be able to demonstrate the existence of, both adequate financial resourc - es and adequate insurance; • deal with the JFSC and other authorities in Jersey in an open and co-operative manner; • not make statements that are misleading, false or deceptive; • at all times comply and be operated in accordance with any applicable JFSC Guide; and • comply, where relevant, with the applicable sections of the AIF Code. The JFSC Guides set out details of matters which need to be notified to the JFSC or which require
administration of the fund is not carried on in Jersey). • Additionally, where the offer is not an offer to the public (it must be made personally to a maximum of 50 persons in Jersey), or the offer is valid in the UK or Guernsey. In sum - mary, this test requires that: (a) the offer complies with the Financial Services and Markets Act 2000 in the UK (FSMA) or the fund is authorised under the Protection of Investors (Bailiwick of Guernsey) Law 1987 in Guernsey; and (b) the offer is made to a similar type of investor and in a similar manner in Jersey as in the UK or Guernsey (as applicable). Persons Permitted to Market Non-Domiciled Funds Into Jersey The considerations set out above in relation to Jersey funds apply. Regulated, non-Jersey distributors who wish to market certain fund categories to Jersey inves - tors (such as UCITS funds, authorised unit trusts or authorised open-ended investment compa - nies within the meaning of FSMA) are exempt from regulation in Jersey as “overseas distribu - tors”. Such marketing must take place on a reverse solicitation basis or by way of adver - tisements meeting certain content requirements. 2.3.7 Marketing of Alternative Funds Alternative investment funds in Jersey can be marketed to a wide range of investors, provided they meet the eligibility criteria for the specific fund type being promoted. Please refer to 2.3.6 Rules Concerning Market- ing of Alternative Funds .
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