Guernsey may lie just 50 kilometers west of France's shores, but in terms of fund industries the lands could hardly be further apart.
Guernsey may lie just 50 kilometers west of France’s shores, but in terms of fund industries the lands could hardly be further apart.
The island managed to grow the total value of its fund management and administration business by £711m last quarter, to stand at £270.8bn by the end of June.
That month, just a handful of miles away, the French were busy pulling at least €2.5bn from mutual funds, producing sharper monthly withdrawals than in any other European nation, according to Lipper. (The Germans and Spanish followed closely behind.)
Total fund industry volumes in Guernsey have been steady for the past three years, although year on year the second quarter result for 2012 represented a slight decrease.
Fiona Le Poidevin (pictured), chief executive of Guernsey Finance said: “It is encouraging to see that the Guernsey funds sector is showing some stability during an uncertain time for the global economy, but it is also a reminder that it will be a case of making slow and steady progress down the long road to recovery.”
She notes a continuance of some well-established trends, including a drop in open-ended fund business, a marginal demand for services to non-Guernsey open-ended schemes, and growth in the closed ended fund sector.
She points to Coller Capital’s announcing the final closing of its latest Guernsey fund, Coller International Partners VI, with commitments of $5.5bn, as the most significant recent event.
Horace Camp, chairman of the Guernsey Investment Fund Association (GIFA), said: “the general economic malaise, particularly in the Eurozone, does mean that we need to be cautious but overall we have had a positive first half of 2012.”