Guernsey introduced new regulations on 31 July to allow the migration of limited partnerships into the island. The move follows Guernsey’s adoption of a new ‘fast-track’ regime for the migration of investment funds and managers, and the new regulations are similarly structured.
The Limited Partnerships (Migration) Regulations 2020 will allow limited partnerships – commonly company structures, private equity vehicles or collective investment funds – seeking the security of a jurisdiction such as Guernsey, white-listed by the European Union and OECD for economic substance, to move quickly and easily.
“Companies and fund managers today are looking to jurisdictions that can and have met new global standards on economic substance,” said Guernsey Finance chief executive Rupert Pleasant. “Guernsey has always had genuine substance in financial services. Our whitelisted position genuinely sets us apart from other jurisdictions which have not met these criteria, and we will continue to build on this position of strength.”
Stephen Hare, Managing Director of Sovereign Trust (Channel Islands) Ltd., said: “We continue to see enquiries for the migration of existing structures into Guernsey; sometimes this is fee driven but invariably it is the sophistication of the jurisdiction’s finance sector that attracts clients. The development of the limited partnership regulations once again demonstrates Guernsey’s legal flexibility in responding to the needs of potential clients. Guernsey continues to be very much “open for business.”