Discussion Paper on Ancillary Vehicles

Closed 5 Oct 2020

Opened 20 Aug 2020

Overview

Introduction

Purpose of the Discussion Paper

The Projets de Loi for the Regulation of Fiduciaries, Administration Businesses and Company Directors, etc (Bailiwick of Guernsey) Law, 2020 (“the 2020 Fiduciaries Law”) and the Protection of Investors (Bailiwick of Guernsey) Law, 2020 (“the 2020 PoI Law”) were approved by the States of Deliberation on 18 August 2020[1] (see Billet D’état XVII 2020 here https://www.gov.gg/CHttpHandler.ashx?id=128687&p=0)

The 2020 Fiduciaries Law introduces a new statutory licensing exemption (section 3(1)(aa)) for activities being carried out by or in respect of “ancillary vehicles” when  such activities are notified to the Commission in accordance with rules made under section 20 of the 2020 PoI Law. It is proposed that the Commission will issue notification rules and supporting guidance under the PoI Law.

The purpose of this Discussion Paper is to seek feedback from all interested parties on the proposed types of entity and activities which fall within the notification regime.  

Responses to this Discussion Paper will be considered by the Commission with a view to making more detailed policy proposals in the form of a Consultation Paper to be issued later in the year.

This Discussion Paper is a working document and does not prejudge any final decision to be made by the Commission.


[1] Whilst we acknowledge that the 2020 Fiduciaries Law and the 2020 PoI Law remain in draft form and have not been approved by the Chief Pleas of Sark or the States of Alderney, the Discussion Paper has been issued at this time to provide sufficient time to ensure that the views of interested parties can be considered in the drafting of proposed rules to be issued at the time the new laws may come into effect, if approved.

What Happens Next

Next Steps

The closing date for the Discussion Paper is 5 October 2020. The Commission will then consider all the comments received and engage with relevant industry representative bodies with the view to consulting on detailed proposals in due course.

 

Audiences

  • Consumer
  • Financial Advisor
  • Financial Services Business
  • FinTech
  • Lending, Credit & Finance Business
  • NRFSB
  • Prescribed Business
  • Lenders