Jersey introduced a new concept in segregated cell company structures to the financial world in February 2006. The product, the incorporated cell company (ICC), looks like it will become the product of choice for Jersey’s alternative investment funds industry.
New developments in Jersey’s companies law early this year, allied to the increasing use of ICCs for listed funds and hedge funds products means that the ICC looks set to transform Jersey’s fund landscape.
The ICC has provided fund managers and transaction sponsors with a flexible and cost-effective structuring option. New changes in Jersey’s companies law, allowing different boards of directors for the various cells of an ICC, has reinvigorated the market for these hybrid vehicles. ICCs have, of course, been adopted in umbrella funds, hedge funds and structured equity products. They are also being used extensively in capital market transactions including medium term note programmes.
