Guernsey vs Jersey
The optimal jurisdiction for trusts
Guernsey vs Jersey
Guernsey has a long tradition of providing specialist private wealth management to sophisticated private clients and their families –the island is politically, economically, and environmentally safe and secure.
Guernsey vs Jersey - The optimal jurisdiction for trusts
St. Peter Port, Guernsey
Constitutional, political and geographical differences
Jurisdiction Guernsey
Political position in the world
Jersey
Constitutional, politcal and geographical differences
A self-governing jurisdiction with more than 800 years of constitutional autonomy, having split from Normandy in 1204.
A self-governing jurisdiction with more than 800 years of constitutional autonomy, having split from Normandy in 1204.
Historical ties to UK
A British Crown Dependency – relationship with the UK is through the Crown not the UK Parliament.
A British Crown Dependency – relationship with the UK is through the Crown not the UK Parliament.
Right to appeal in UK privy council
Political volatility
Application and principles of English common law
Environmentally and geographically stable
Not volatile – secure and stable with candidates typically being elected independently. ✔ No major weather, geological or other environmental disasters.
Not volatile – secure and stable with candidates typically being elected independently.
Origins based in Norman-French law, with a strong emphasis on English common law due to strong influence of UK.
Origins based in Norman-French law, with a strong emphasis on English common law due to strong influence of UK.
✔ No major weather, geological or other environmental disasters.
Regulatory and legal differences
Jurisdiction Guernsey
Regulatory and legal differences
Jersey
Principal trust
legislation
Regulatory approvals
Government Fees
Types of trust
The Public Trustee (Bailiwick of Guernsey) Law, 2002.
The Trusts (Guernsey) Law, 2007.
(except for certain unit trusts).
Discretionary trust.
Life Interest trust.
Purpose trust (charitable and non-charitable).
Bare trust.
Unit Trust.
Pension Trust.
Employee Benefit Trust.
Trusts with settlor reserved powers permitted.
Reserved powers can be granted to others and are wide ranging – enabling influence on investment and asset management, making distributions and in appointing and removing officers, advisors, trustees, and beneficiaries.
Trusts (Jersey) Law, 1984.
(except for certain unit trusts).
Discretionary trust.
Life Interest trust.
Purpose trust (charitable and non-charitable).
Bare trust.
Unit Trust.
Pension Trust.
Employee Benefit Trust.
Trusts with settlor reserved powers permitted. Reserved powers can be granted to others and are wide ranging – enabling influence on investment and asset management, making distributions and in appointing and removing officers, advisors, trustees, and beneficiaries.
Regulatory and legal differences
Jurisdiction Guernsey
Regulatory and legal differences
Establishment time
Within a few days for a straightforward discretionary trust subject to AML requirements being met.
Within a few days for a straightforward discretionary trust subject to AML requirements being met.
Confidentiality
PTC legislation and regulations
Regulation of professional trustees
No public filing requirement. Trust documents are confidential.
No public filing requirement. Trust documents are confidential.
Protectors permitted
Requirement for local assets or local trust administration
Discretionary exemptions available subject to discretion of the Regulator.
Regulated through the Financial Services (Trust Company Business (Exemptions) (Jersey) Order 2000.
International standards/ products
Jurisdiction Guernsey
Adherence to international standards
EU Economic Substance status
Compliance with OECD
Compliance with FATF
Whitelisted (2019).
Private Trust Companies permitted
Private Trust Foundations permitted
Private wealth investments investable through a fund vehicle permitted
Non-charitable purpose trusts permitted
Whitelisted (2009).
Compliant with Moneyval and fully committed to the implementation of FATF and CFT recommendations
Product Comparison
✔ Under the Fiduciaries Law.
✔ Under the Fiduciaries Law.
✔ A Guernsey Private Investment Fund (PIF) can be created as a bespoke private wealth structure for those investors who hold a family relationship.
Whitelisted (2019).
Whitelisted (2009).
Compliant or largely compliant with FATF and CFT recommendations
✔ Under the Fiduciaries Law.
✔ Under the Trusts (Guernsey) Law.
✔ Under the Trusts (Jersey) Law.
Guernsey vs Jersey - The optimal jurisdiction for trusts
Cobo, Guernsey
