Guernsey boasts a broad spectrum of investment management providers, varying from subsidiaries of international investment houses to independent boutiques. In combination these firms deliver the widest range of stockbroking and investment management services for private clients, investment funds and institutions.
At the end of December 2015, there were 173 local investment managers reporting combined gross assets under management of £142.5 billion.
Owner-managed and independent
A high proportion of the island’s investment managers are owner-managed businesses where staff are committed to the long-term success of the company and the industry.
These companies provide individuals with investment products and services across a broad spectrum of asset classes, including stockbroking, investment management, comprehensive back office and operational support, and investor relations. Local providers are also able to meet the needs of institutional investors.
The right environment for success
A major factor behind this success is the island’s business-friendly environment. For example:
- The island’s constitutional status, including legislative and fiscal independence, provides stability on which business can rely and at the same time enables a quick speed of reaction to meet its evolving needs
- Guernsey has a standard zero rate of tax for companies
- The island is in the same time zone as the UK and with frequent air links to London, and on to Frankfurt, Zurich and Geneva
- Guernsey leads global rankings in anti-money laundering and countering the financing of terrorism as evidenced by the island’s recent Moneyval report
This environment has attracted several hundred financial institutions from all over the world covering banking, insurance, investment funds, pensions, and trust & fiduciary in addition to investment management.
Cooperation between these parties encourages an open exchange of ideas and is one of the reasons why the island’s businesses continue to lead in financial services innovation.
It is this environment which means the number of investment management firms establishing in Guernsey continues to grow.
They are also attracted by the fact that having a physical operation in the island provides additional substance to offshore arrangements.
“Security, international perspective and innovation are key to the design and delivery of investment products and services enabling Guernsey to perform at the highest level.” Gregg Le Tissier, Chairman, Guernsey Investment Management & Stockbroking Association