Jersey is well positioned to support managers in a landscape where the convergence of the alternative fund and private client sectors remains a key trend – but the industry must focus on innovation if it is to maintain its growth trajectory, according to speakers at this year’s Jersey Funds Association (JFA) annual dinner.

More than 400 people from across the industry, including lawyers, fund administrators, fund managers, compliance experts and accountants as well as politicians and regulatory representatives, attended this year’s dinner, held recently (20 June).

Speaking at the event, Mike Johnson, JFA Chair, told the audience that, in a persistently challenging environment, Jersey had fared well against its competitors. In particular, he pointed to the ongoing success of the Jersey Private Fund (JPF) regime, with the total number of JPFs now standing at 750 – a 5% increase on last year –while the total value of fund assets serviced in Jersey now sits at around £540bn.

Nevertheless, the sector faced several ongoing challenges, particularly around fundraising difficulties in the middle market and broader liquidity constraints. Despite these headwinds, Jersey remains well-positioned to attract new business, thanks to its speed to market, regulatory flexibility, tax neutrality, high-quality service, and familiar legal framework.

Mike also highlighted how liquidity pressures are prompting managers to explore the convergence of the alternative funds and private client sectors. Here too, Jersey stands out, leveraging its longstanding private wealth expertise and international reputation to support this growing trend. He said:

“The continued growth of Jersey’s funds sector, despite geopolitical uncertainty, fundraising headwinds and liquidity constraints, is a clear reflection of the strength and resilience of our proposition. But we cannot be complacent. To remain competitive, we must keep innovating – by evolving our product suite, refining our regulatory approach, and embracing forward-looking priorities such as retailisation and technology.

“We’re fortunate to benefit from a strong, collaborative relationship with government, the JFSC and Jersey Finance, all aligned in our commitment to building a future-ready financial ecosystem.”

In addition, Vice Chair of the JFA and Chair of the Legal & Technical sub-committee, Joel Hernandez, pointed to the rapid pace of change in the sector and the work undertaken by the committee, from consulting across industry on sustainable finance to shaping the future of AIFMD II. He specifically highlighted enhancements on the horizon for the JPF, and the committee’s input into Jersey Finance’s Vision2050 project, aimed at affirming the Island’s future-focussed finance sector. He added:

“The pace of change in our industry is relentless, but what sets Jersey apart is its ability to respond quickly, work collaboratively, and stay ahead of the curve. The efforts of our sub-committees are fundamental to that success, positioning Jersey’s funds industry strongly to thrive in an increasingly complex global landscape.”

Meanwhile, attendees at this year’s dinner raised more than £11,000 for local charity Kezia’s Fund, which the JFA had previously pledged to support as part of a three-year commitment, thanks to a raffle held during the evening. Over three-years, the JFA has now raised some £37,000 for Kezia’s Fund, which aims to support mental health among children and young people aged 5 to 25 and their families in Jersey; and provides grants and support to organisations that work to improve children and young people’s mental wellbeing. 

Mike added: “I’m heartened by the fantastic turnout at our annual event and in particular the generosity shown by all those who attended to support the vital work of Kezia’s Fund.”

This year’s Dinner Gold Sponsor was Mourant while Silver Sponsors were IQEQ, BNP Paribas Securities Services, Ogier, B-Flexion and PwC. Champagne Sponsor was Carey Olsen while NextGen Sponsors were KPMG and Gen II, and Technology Sponsor was Allvue.

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