Consultation Paper on the Prospectus Rules
6th January 2025The Guernsey Financial Services Commission has today issued a consultation paper seeking views on a proposed revised set of rules and guidance, which would be made under the Protection of Investors (Bailiwick of Guernsey) Law, 2020 (“the POI Law”), and which are intended to update and improve upon the current Prospectus Rules and Guidance, 2021.
This consultation paper forms part of a programme of work for the Commission in 2025 which sees us working with industry and others to simplify rules where we can and reduce administrative burdens for businesses. The proposed modernisation of the prospectus rules aims to provide enhanced clarity and to standardise some requirements to ensure that the Bailiwick’s investment and funds proposition is as accessible and as simple to use as possible whilst continuing to accord with international standards on investor protection.
These rules relate to the issuance of prospectuses in respect of Category 2 Controlled Investments as defined in the POI Law, and Collective Investment Schemes registered under Section 8 of the POI Law, and which are subject to the Registered Collective Investment Scheme Rules, 2021.
Whilst the proposed rules are intended to replace the current Prospectus Rules, they would not fundamentally change the regulatory framework, or the Commission’s approach in relation to prospectuses and other offering documents.
The Commission has taken account of industry representations in drafting these proposed revised rules – in particular, the revised rules seek to broaden the exemptions contained within them, making them comparable with peer jurisdictions.
Other changes in the proposed rules would help ensure that the Bailiwick’s regulatory framework is kept up to date and consistent with the expectations of international standard setting bodies.
Responses to the consultation paper are sought by 3 March 2025.
Respondents are encouraged to submit their comments using the Commission’s Consultation Hub at the following link, where a copy of the consultation paper can also be found: Guernsey Financial Services Commission - Citizen Space