Jersey Financial Services Commission Quarterly Report

The Jersey Financial Services Commission has today, 27 May 2005, issued its quarterly report for the period 1 January 2005 to 31 March 2005.

Headlines:

• Bank deposits increased by £4.0 billion during the first quarter.

• The value of collective investment funds managed in the Island stood at £103.9 billion at the end of the first quarter. This represents an increase of £4.3 billion over the same quarter in 2004.

• The number of collective investment funds and COBO funds rose during the quarter from 833 to 870.

• The total value of funds under management (Class B of the Financial Services (Jersey) Law 1998) increased by £2.1 billion during the first quarter.
  Company incorporations for the first quarter totalled 608

Bank Deposits
At the end of the first quarter bank deposits stood at £162.2 billion. This was an increase of £4.0 billion, or 2.6%, over the 2004 year-end figure.

Sterling bank deposits increased by £1.2 billion and currency bank deposits by the equivalent of £2.8 billion. Whilst currency fluctuations accounted for part of the £2.8 billion increase, the majority came from an actual increase in currency deposit balances.

The number of banking licences at 31 March 2005 was 48.

Company incorporations
The total number of incorporations during the first quarter was 608, an almost identical figure to that in the corresponding quarter of 2004.The number of ‘fast track’ incorporations for the quarter was 249 and the number of normal company incorporations was 359.

During the first quarter of 2005, against their self-imposed target of 95%, the Registry recorded a 99.4% rate for normal two-day incorporations and a 98.8% rate for fast track incorporations.

Investment Business
During the first quarter there were four new Category A licences issued.
The total number of insurance licences at 31 March 2005 therefore stood at 168, of which 156 were Category A and 12 Category B.

The regulation of general insurance broking came into force on 21 January 2005. To date, the Commission has received 68 applications, of which 40 have been fully registered while the remaining 28 have transitional status while various outstanding issues are clarified.

Conclusion
David Carse, Director General of the Commission, commenting on the quarterly statistics said today, ”The increase during the quarter in bank deposits and funds under management is encouraging. Business in the funds sector also remains buoyant and, in particular, the continuing growth in Expert Fund business bodes well for the future of this sector.”

To read the press release in full, please visit the press section of www.jerseyfsc.org