Jersey Finance welcomes operational update from the CISX

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Jersey Finance has welcomed the update issued by the Channel Islands Stock Exchange yesterday (October 16) in which they have provided greater certainty about current operational matters and its future direction.

The Exchange announced on Monday (October 14) that certain of its historic activities have been under investigation by the Guernsey Financial Services Commission, which regulates the Exchange and that, while the investigations do not relate to current matters, the Exchange would not accept new listings while it establishes an alternative corporate structure to segregate the historic issues from the operation of the business.

The Exchange has subsequently published an operational statement to provide more details of what the current position will mean for those practitioners using the Exchange. See statement http://www.cisx.com/content.php?pageid=623

Geoff Cook, CEO, Jersey Finance, commented:

‘‘The statement points out that while the Exchange is restricting its listing activity while the re-structuring is underway, it makes clear that it is still accepting certain types of listings applications from existing debt issuers, existing trading companies and existing closed and open ended funds. It further adds that, although it is not processing any new applications from issuers that are not already listed on the Exchange, it has sole discretion to consider listings on a case by case basis.

“It was important for the Industry in Jersey that they were given greater clarity about the operational arrangements for the Exchange while the investigation into historic matters continues and this announcement helps provide greater certainty for clients. The CISX chairman Jon Moulton said that he will be publishing proposals for the new structure of the Exchange in around a month and we look forward to receiving those details.

“The Exchange has been an important and welcome part of the finance industry in the Channel Islands for many years. We are in contact with our colleagues in Guernsey and we will be working closely with them in the coming weeks to help ensure that the Exchange continues to have a significant role in the success of our industries.”

Ben Robins, a partner at Mourant Ozannes and chairman of the Jersey Funds Association, said: “The operational statement issued by the Exchange provides useful guidance for clients already in the listing process, and we look forward to receiving more information about the proposed restructuring of the Exchange.”

Alex Ohlsson, Managing Partner of Carey Olsen and a member of the financial and commercial sub-committee of the Law Society, said: “The CISX is an integral part of the corporate offering of the Channel Islands, and we welcome the assurance of the Exchange personnel that they are working to manage the needs of existing clients”.