Collective Investment Funds (Jersey) Law 1988

Summary

This is Jersey's principal statute governing collective investment funds and the persons who act as their functionaries (managers, trustees, custodians, administrators and general partners). It creates the Jersey Financial Services Commission's licensing and supervisory framework for such funds, requiring permits for functionaries of recognized funds and certificates for unclassified funds, and giving the Commission wide powers to authorize, monitor, investigate and discipline market participants.

Licensing: Functionaries of recognized collective investment funds must hold a permit, and unclassified funds must hold a certificate, before carrying on the relevant activity in or from Jersey.
Ongoing notifications: Holders must notify the Commission of changes in principal persons, key persons (including compliance, money laundering compliance and money laundering reporting officers) and shareholding, and objections to such persons can be raised by the Commission.
Display and transparency: Permit or certificate holders must display their permit or certificate and any attached conditions.
Commission powers: The Commission may require information and documents, issue directions, prepare and enforce codes of practice, issue public statements, investigate suspected breaches, and enter and search premises.
Disclosure regime: The law restricts disclosure of information obtained by the Commission but permits specified disclosures to other supervisory authorities, public bodies and persons, subject to conditions.
Professional cooperation: Auditors and approved professionals of permit or certificate holders have communication obligations to the Commission.
Offences: Misleading statements or practices in relation to funds, obstruction of investigations, and aiding and abetting breaches are offences carrying penalties.

The law also sets out appeal rights against Commission decisions (including refusal, cancellation or imposition of conditions on permits and certificates, and public statements), and provides for civil actions for damages and for the Commission or Court to appoint a manager over a fund's affairs in prescribed circumstances. It has been amended many times since 1988, with the current consolidated version in force from 27 February 2024.

Key obligations

Functionaries of recognized funds must hold a permit before acting, or holding themselves out as acting, as a functionary in or from Jersey
Unclassified funds must hold a certificate before operating
Permit and certificate holders must display their permit or certificate and any conditions attached to it
Holders must notify the Commission of a change of principal person or key person and of changes in shareholding
Holders and functionaries must comply with directions issued by the Commission and with applicable codes of practice
Persons must not obstruct the Commission's investigations or entry and search of premises under the Law
Auditors and approved professionals of permit or certificate holders must communicate specified matters to the Commission
Persons must not make misleading statements or engage in misleading practices in relation to a collective investment fund

Applies to

collective investment funds, functionaries (managers, trustees, custodians, administrators, general partners), permit holders, certificate holders, unclassified funds, recognized funds, compliance officers, money laundering compliance officers, money laundering reporting officers, fund service providers, auditors and approved professionals

Deadlines

6 months beginning on the date the Order is made: An Order made by the Minister amending the Schedule (which determines who is a functionary) cannot come into operation before this period has expired

Collective Investment Funds (Jersey) Law 1988

Summary

Key obligations

Applies to

Deadlines

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Version history

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