The Authorised Closed-ended Investment Schemes Rules 2021
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The ACEIS Rules govern closed-ended funds that the GFSC authorises, rather than registers. They are short: a Guernsey-licensed designated administrator, a conflicts code, a set of information particulars and a filing calendar. They set no investor eligibility test and no investment or borrowing limits. The fund discloses its own policy in the information particulars instead (Schedule 1). A custodian is optional.
Scope and the core mechanism
Authorisation is a declaration under section 8 of the POI Law. The administrator applies with the form, signed or certified fund documents, other key agreements and the fee (Rule 6.1). The application must name the proposed designated administrator. The GFSC may then declare the scheme authorised if the documents appear to comply. It may also accept documents that miss a content rule, where meeting it is not needed to protect investors (Rule 6.2(1)). Where relevant, the declaration lists the rules that the principal documents or particulars do not meet (Rule 6.2(2)).
Guidance to Rule 6.2 says the GFSC confirms the administrator's designation at the same time as it authorises the scheme. Any conditions in the authorisation must be followed (Rule 6.3). The guidance adds that the GFSC may require undertakings, indemnities, bonds or guarantees to secure compliance. The GFSC may also exclude or modify any rule by written notice (Rule 1.1(2)). In an umbrella fund, the Rules apply to each part of the fund, unless a rule says otherwise (Rule 1.1(4)).
In practice: the Rules prescribe no numerical portfolio limits. The administrator must still run the scheme in line with its principal documents and information particulars (Rule 2.1(1)). Those particulars must state the investment restrictions, how risk will be spread and any borrowing or gearing powers (Schedule 1, items 3 and 4). A proposed material alteration to the investment, borrowing or hedging powers needs immediate written notice to the GFSC (Rule 5.1(2)(f)).
Key provisions
| Provision | What it says | The practical point |
|---|---|---|
| Designated administrator (Rule 2.3) | Every scheme must have a designated administrator. It must be licensed under the Law, operate in Guernsey and have a place of business there (Rule 2.3(1) and (2)). | The administrator runs the scheme by its principal documents, these Rules and the latest information particulars. It may delegate any function if the principal documents do not restrict it, and in a company scheme subject to the directors' directions. It must remain satisfied that the delegate is competent (Rule 2.1(3)). |
| Custody (Rule 2.2) | Where no custodian is appointed, the application must tell the GFSC how the assets will be kept safe. Where one is appointed, the scheme discloses the safeguarding provisions and the custodian's name and address (Rule 2.2). | Guidance to Rule 2.2 says the designated administrator may itself provide safekeeping. Class B and Class Q schemes must have a designated custodian or trustee instead. The GFSC can exclude or modify that rule (Class B, Class Q Rule 5.3(1)). |
| Conflicts (Rule 3.1) | Dealings between the scheme and a relevant person must meet an arm's length test. That covers deposits, loans, asset sales and purchases, stock lending and services (Rule 3.1(2) to (9)). | Loans forming part of an investor's commitments fall outside the lending limb (Rule 3.1(3)). The test is deemed met by best execution on exchange, or by an independent valuation (Rule 3.1(10) to (12)). A valuer who is independent and qualified must certify the value in writing. The directors must also think the terms unlikely to harm holders materially. |
| Information particulars (Rule 4) | The particulars must contain the Schedule 1 matters. The directors, general partner or trustee answer for their accuracy (Rules 4.1 and 4.2). | Changes go to holders either immediately or in the next annual report, with a copy to the GFSC (Rule 4.1(2)). Schedule 1 covers duration, exit strategy and the basis of valuation. |
| Immediate notifications (Rule 5.1) | A replacement administrator takes office only once the GFSC confirms the designation (Rule 5.1(1)). | Rule 5.1(2) also lists proposed changes of manager, directors, custodian or auditor. It covers material delegations, plans to extend the life of the scheme or wind it up early, and any listing or de-listing. |
| Periodic filings (Rules 5.2 and 5.3) | The administrator files the audited annual report and accounts in line with the information particulars. The outer limit is six months after the accounting period ends (Rule 5.2(1)). | Materially amended agreements not yet sent to the GFSC go in with the accounts (Rule 5.2(2)). A statistical return is due each quarter, in the GFSC's format and timescale (Rule 5.3). |
| Qualified auditor (Rule 7.1) | A qualified auditor has a place of business in the Bailiwick. It holds a practising certificate from a listed UK or Irish body, or an equivalent (Rule 7.1(2)). | The particulars must name the auditor (Schedule 1, item 2), and a change of auditor is a matter for immediate notice (Rule 5.1(2)(b)(viii)). |
Amendment history
| Date | Instrument | What changed |
|---|---|---|
| 2008 | Authorised Closed-ended Investment Schemes Rules 2008 (G.S.I. No. 83 of 2008) | The predecessor ruleset under the 1987 Law. Authorisations issued under it remain valid, and its exclusions and modifications continue where the 2021 Rules allow (Rule 8.2). |
| 1 Nov 2021 | Authorised Closed-ended Investment Schemes Rules, 2021 | Came into force on 1 November 2021 (Rule 8.4) and revoked the 2008 Rules (Rule 8.3). Designated managers under the 2008 Rules were re-designated as designated administrators (Rule 8.1). |
The GFSC's fund rules page lists the 2021 Rules with no amending instrument. By contrast, the RCIS (Amendment) Rules, 2025 took effect on 1 July 2025. The Class B (Amendment) Rules, 2024 took effect on 20 December 2024, for schemes authorised from that date.
What it works with
The Rules sit under the Protection of Investors Law 2020 (summary: POI Law page). Section 8 grants the declaration and section 19 lets the GFSC make class rules. The ACEIS Rules carry their own content schedule for information particulars. The Prospectus Rules 2025 apply by name to registered schemes (Rule 1.1(4)). A closed-ended fund can instead be registered under the RCIS Rules 2021 (summary: RCIS page). There the offering document states that the GFSC relied on the designated administrator's declarations (RCIS Schedule 1). A registered scheme can also opt into the PIF Rules 2025. It must meet all the Schedule 1 criteria for a QPIF or a Family PIF (Rule 2.1; summary: PIF page).
The open-ended authorised classes have their own rulebooks: the Class B Rules 2021 and the Class Q Rules 2021. Both require a designated custodian or trustee (Class B, Class Q Rule 5.3(1)). The private fund domicile comparison sets Guernsey against Jersey, Luxembourg and Ireland. In Jersey, certified funds are established under the Collective Investment Funds (Jersey) Law 1988, a statute rather than a class rulebook (summary: CIF Law page). Marketing into the EU follows AIFMD. The GFSC's AIFMD regime page covers national private placement, which is open only where the destination state allows it, on that state's terms. Fees are set by the Financial Services Commission (Fees and Administrative Penalties) Regulations, 2025, from 1 January 2026 (GFSC investment fees). Due dates are on the regulator fee deadlines page.
In practice: the designated administrator is the fixed point. It applies, it files the accounts and returns, and it gives the immediate notices. A replacement appointment becomes effective only after the GFSC confirms the designation (Rule 5.1(1)).
To verify
- Amending instruments. The GFSC fund rules page lists no amendment to the 2021 Rules. Confirm against the GFSC's statutory instrument list before relying on the 2021 text as current.
- Statutory instrument number. The PDF does not state the G.S.I. number of the 2021 Rules. Confirm it against the Guernsey statutory instrument register.
- Enabling Law reference. Footnote 1 of the Rules cites Order in Council No. XVII of 2020, while the Class B Rules cite No. XVIII of 2020. Confirm the correct reference against the published Law.
- Statistical return. Rule 5.3 leaves the format and deadline of the quarterly return to the GFSC. Confirm the current form and due date with the GFSC.
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