Collective
Investment Funds (Restriction of Scope) (Jersey) Order 2000
1 Interpretation[1]
In this Order –
“investment scheme”
includes any investment arrangement;
“LLC interest” means an interest in a
limited liability company registered under the Limited Liability
Companies (Jersey) Law 2018;
“non-equity LLC interests” means LLC
interests where –
(a) any
of the rights of the LLC interests to receive payments are for a limited amount
that is not calculated by reference to the limited liability company’s
assets or profits or the distributions on any class or series of equity LLC
interest;
(b) any
of the rights of the LLC interests to participate in a surplus in a winding-up
are limited to a specific amount that is not calculated by reference to the
limited liability company’s assets or profits, and such limitation had a
commercial effect in practice at the time the LLC interests were issued or, if
later, at the time the limitation was introduced; or
(c) the
LLC interests are redeemable either according to their terms, or because the
holder, or any party other than the issuer, can require their redemption;
“non-equity shares”
means shares where –
(a) any
of the rights of the shares to receive payments are for a limited amount that
is not calculated by reference to the company’s assets or profits or the
dividends on any class of equity share;
(b) any
of the rights of the shares to participate in a surplus in a winding-up are
limited to a specific amount that is not calculated by reference to the
company’s assets or profits, and such limitation had a commercial effect
in practice at the time the shares were issued or, if later, at the time the
limitation was introduced; or
(c) the
shares are redeemable either according to their terms, or because the holder,
or any party other than the issuer, can require their redemption;
“securities”
means bonds, notes, commercial paper, debentures, debenture stock, instruments
creating or acknowledging indebtedness, units, LLC interests including
non-equity LLC interests or interests under a limited partnership but does not
include shares, apart from non-equity shares;
“special purpose”,
in respect of an investment scheme, means that the only or principal purpose of
the scheme is the securitization or repackaging of assets that involves the
issue of securities.
2 Restriction
of scope[2]
An investment scheme does
not constitute a collective investment fund for the purposes of the Collective Investment
Funds (Jersey) Law 1988 if –
(a) it
was established for a special purpose; and
(b)
(c) the
listing particulars or offer document relating to the securities includes in
bold type face –
(i) the
text set out in the Schedule, or
(ii) such
text as modified in accordance with the written agreement of the Commission.
3 Citation
This Order may be cited
as the Collective Investment Funds (Restriction of Scope) (Jersey)
Order 2000.
Schedule
(Article 2(c))
Text to be included in
listing particulars or offer document to which this Order applies
“The investments
described in this document do not constitute a collective investment fund for
the purpose of the Collective
Investment Funds (Jersey) Law 1988, as amended, on the basis that they
are investment products designed for financially sophisticated investors with
specialist knowledge of, and experience of investing in, such investments, who
are capable of fully evaluating the risks involved in making such investments
and who have an asset base sufficiently substantial as to enable them to
sustain any loss that they might suffer as a result of making such investments.
These investments are not regarded by the Jersey Financial Services Commission
as suitable investments for any other type of investor.
Any individual intending
to invest in any investment described in this document should consult his or
her professional adviser and ensure that he or she fully understands all the
risks associated with making such an investment and has sufficient financial
resources to sustain any loss that may arise from it.”.