United Kingdom: Securitization & Structured Finance

Collateralised fund obligations (CFOs) are emerging as a critical financing mechanism for private fund sponsors seeking to access institutional capital markets. This analysis examines why the Channel Islands—specifically Guernsey and Jersey—have become preferred jurisdictions for structuring CFO vehicles targeting UK and European assets, combining regulatory credibility with tax efficiency and structural flexibility.

Tokenisation, stablecoins and institutional decentralised finance are transitioning from niche concepts to central elements of financial market infrastructure discussions. As institutions examine blockchain-based systems for funds, treasury operations, and collateral management, the critical question shifts from theoretical utility to practical implementation—whether new digital infrastructure can deliver the legal certainty, governance standards, and operational resilience that institutional markets

As alternative lenders scale, most will move from corporate facilities and overdrafts on bank standard forms to consider a "specialty finance" facility.