The next trillion: what is attracting the next generation of fund managers to Guernsey?

As Guernsey’s funds industry surpassed the milestone of £1 trillion in invested assets, this year’s Guernsey Funds Forum focused on the theme of “the next trillion” and asked the key question: what will drive Guernsey’s funds industry to that next milestone? 

A large part of the answer lies in Guernsey's ability to attract and support the best quality new managers coming out of the UK, Europe and the rest of the world — something the jurisdiction has historically done well.

What matters now is understanding what those managers need to move from idea to launch, and how the island can respond in a way that is both practical and commercially relevant.

As this article explains, Guernsey is already tackling this directly by adapting its regulatory framework and support structures. How this is delivered in practice is where the difference will be made.

What emerging managers really need 

When new managers assess where to domicile a fund, the volume of information can be overwhelming. Multiple jurisdictions make similar claims, often focused on size or reputation.

However, when you consider what helps a first-time manager launch, build credibility and secure investors, certain factors tend to matter most.

A joined-up ecosystem 

Emerging managers do not just need access to service providers. They need an environment that understands the realities of launching a first fund. In Guernsey, that ecosystem is well established. 

Many advisers, administrators, auditors and non-executive directors have built their careers around closed-ended and alternative structures. That experience matters. It reduces friction and means managers are working with people who understand the practical challenges of early-stage fund launches, not just the technical requirements.

Regulation that works in practice 

Regulation needs to provide certainty without slowing progress. Guernsey’s approach has typically been to focus on accessibility and responsiveness. The regulatory framework is widely recognised internationally but, importantly, it is also workable for first-time managers.

The qualifying private investor fund (QPIF) regime is a good example, reflecting a continued focus on making the authorisation process efficient while maintaining appropriate standards.

Cost and speed to market 

Cost remains one of the biggest constraints for emerging managers. There is often a tendency to default to larger jurisdictions based on name recognition but, in practice, those options may not align with what first-time managers need and can be expensive. 

Higher operating costs, additional structural requirements and longer timelines can all delay or complicate a launch. For an emerging manager, this can make all the difference. 

Access to investors 

A common assumption is that access to European capital requires a specific type of domicile. But the reality is more nuanced.

Guernsey has always benefited from the ability to market into Europe under the national private placement regime (NPPR), allowing managers to market into a broad range of European jurisdictions. For most emerging managers, the NPPR is a workable and established route to capital. 

One of the more consistent themes in industry discussions is the gap between perception and experience. There can be an assumption that certain jurisdictions offer better access to institutional capital, or that offshore structures present barriers. In reality, investor behaviour is often more pragmatic.

Where a strategy is compelling and the structure is robust, capital will follow. This applies equally to development finance institutions and sovereign-backed investors, where there are clear examples of allocations to Guernsey structures.

Responding to the practical barriers 

There are a set of practical challenges that emerging managers consistently face, like understanding how to structure a fund, navigating service provider relationships, managing upfront costs and bridging the gap between operating a business and running a regulated fund. These are often the points where momentum is lost. 

Guernsey is responding directly to these challenges and the recently launched Fund Foundry initiative is one example, which Ogier is delighted to partner with. Designed as a collaboration between the public and private sectors, it focuses on reducing the time and cost associated with getting to first close.

The model combines structured support, access to investors and direct cost mitigation. This includes fee support, reduced-cost service provision and mentorship from experienced fund managers.

The aim is not to change the fundamentals of fund structuring but to make the pathway more accessible. In particular, it recognises a common issue: many emerging managers are experienced investors or entrepreneurs, but running a fund requires a different skillset. Bridging that transition is where targeted support can add the most value. 

Why Guernsey for emerging managers 

Guernsey’s strengths are clear:

• tried and tested cost-effective ecosystem
• responsive regulatory environment
• established routes to capital
• strong track record in alternative structures

By reducing unnecessary cost and complexity and making the path to launching more accessible, the “next trillion” becomes a practical outcome rather than an abstract ambition.

After all, long-term growth in any industry relies on new talent entering the market and Guernsey is ideally positioned to support new managers in the funds industry. 

How Ogier can help 

Ogier works with fund managers at all stages of their lifecycle, including first-time and emerging managers navigating their first fund launch. 

We advise on fund structuring and regulatory requirements from conception to launch and throughout their subsequent lifecycle. Our experience across private equity, venture capital, hedge and private debt means we understand both the technical framework and the practical challenges involved. 

Contact our Guernsey Investment Funds team to find out more.

About Ogier

Ogier is a professional services firm with the knowledge and expertise to handle the most demanding and complex transactions and provide expert, efficient and cost-effective services to all our clients. We regularly win awards for the quality of our client service, our work and our people.

Disclaimer

This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.

Regulatory information can be found under Legal Notice