Matt Sanders
Managing Partner
Guernsey
The challenges facing clients today are markedly different from those of a decade ago. As markets evolve and the pace of change accelerates, businesses, investors and private clients are adapting to new regulatory requirements, technological developments and shifting stakeholder expectations.
While these developments affect sectors in different ways, a common theme has emerged across our practice areas: clients increasingly require integrated advice that brings together expertise across jurisdictions, disciplines and markets.
A more complex and international client landscape
One of the most significant changes over the past decade has been the increasing sophistication and internationalisation of client structures.As Gareth Morgan, partner in our Investment Funds & Corporate team, explains: '10 years or so ago, many instructions were jurisdiction-specific and transaction-focused. Now, our clients are typically managing businesses and structures that span multiple jurisdictions simultaneously, with Guernsey being an integral part of a greater, global strategy.'
That shift is visible across almost every area of practice. Clients are navigating increasingly complex operating environments, balancing commercial opportunities with evolving regulatory expectations, investor scrutiny and geopolitical uncertainty.
The investment funds market offers a clear example. Over the past decade, the industry has expanded beyond traditional private equity models into a much broader landscape of private credit, infrastructure and real assets.
Craig Cordle, partner in our Investment Funds & Corporate team, says: 'We have moved beyond one-size-fits-all traditional closed-ended private equity models to a broader landscape including private credit, infrastructure and real assets, alongside increased use of structures that offer greater flexibility and alignment to investor interests.'
The same trend can be seen in banking and finance. As market conditions have changed, so too have the funding solutions available to clients.
Zoë Hallam, head of our Banking & Finance team, notes: 'Challenging times breed innovation, and this last decade has seen the rise of private credit and challenger lenders looking to disrupt and take advantage of gaps in the market not covered by traditional lenders.'
Matt Sanders, managing partner of our Guernsey office, says: 'Many of the opportunities and challenges shaping client priorities today originate in major financial centres such as London, the US and Switzerland. As capital becomes increasingly international, clients are looking for advisers who can connect those markets and provide seamless support across jurisdictions.'
Against this backdrop, clients are increasingly seeking advisers who can provide commercially focused guidance that spans jurisdictions, disciplines and time zones.
Governance, substance and long-term resilience
If there is one factor that cuts across almost every client conversation today, it is the growing importance of governance and resilience.Across corporate, funds, insurance and private wealth structures, clients are placing greater emphasis on substance, oversight and long-term sustainability. Structures are no longer assessed solely on efficiency. They must also be capable of withstanding scrutiny from regulators, investors, counterparties and family stakeholders.
Private wealth provides a particularly interesting illustration of this shift.
Rupert Morris, head of our Private Capital & Trusts team, notes: 'The biggest shift over the past decade has been the blurring of the line between private and commercial trust structures.'
While succession planning remains important, Guernsey trusts are increasingly being used in commercial contexts, supporting everything from intellectual property ownership and treasury management to digital asset holdings and other complex commercial arrangements.
At the same time, private clients are preparing for what is often described as the largest intergenerational wealth transfer in history.
As Rupert explains: 'The largest intergenerational wealth transfer in history, estimated at over US$83tn as the baby boomer generation retires and passes on wealth, is reshaping how families plan, govern and communicate.'
The same focus on governance, substance and long-term resilience is increasingly evident in the insurance sector.
Jessica Robinson, senior counsel who specialises in insurance, says: 'Clients are more sophisticated in their use of offshore platforms, focused not just on speed of execution but on economic substance, robust governance and the management of longer-term balance sheet exposures.'
Whether in insurance, private wealth or investment structures, long-term resilience is becoming a central consideration for clients.
Technology and digitalisation gathering pace
Technology continues to influence every aspect of the financial services industry and Guernsey is no exception.In recent years, the island has taken significant steps to position itself as a trusted jurisdiction for digital finance and digital assets.
Chris Hutley-Hurst, head of our Regulatory & Risk Advisory team, says: 'With the increasing appetite around the world for the digitalisation of financial products, Guernsey is in the process of updating how it regulates digital finance, with the aim of driving future growth and positioning Guernsey as a trusted, innovative hub for digital finance and digital assets.'
Tokenisation, stablecoins and digital asset custody are expected to become increasingly important areas of focus, creating opportunities across regulatory, corporate and finance disciplines.
The increasing convergence of insurance, asset management and digital finance is also creating new opportunities. As Jessica Robinson observes: 'The convergence of insurance and asset management is now a recurring theme, with ILS funds, collateralised reinsurance vehicles and hybrid structures increasingly blurring traditional boundaries.'
Technological disruption is also transforming the workplace itself.
Sarah Ash, head of our Employment team, says: 'We are seeing employers grapple with the impact of artificial intelligence on workplace practices and also in its use by employees to raise issues and concerns.'
Alongside AI, employers continue to face challenges around recruitment, retention and meeting evolving workforce expectations in a competitive labour market.
Protecting wealth and managing risk
In an increasingly uncertain world, clients are seeking advice earlier and taking a more proactive approach to managing risk.Over the past decade, Guernsey has seen significant growth in complex disputes involving trusts, family offices and international wealth structures.
Adam Cole, head of our Insolvency & Dispute Resolution team, says: 'Many clients are seeking advice earlier, often before a dispute has fully crystallised, to help manage risk, navigate family and governance challenges or pre-empt litigation.'
This preventative approach reflects a broader shift in client priorities. Rather than reacting to issues once they arise, many clients are focusing on identifying and managing risks before they become contentious.
Alongside private wealth disputes, demand continues to grow for advice on insolvency, asset recovery and cross-border enforcement matters.
As Adam notes, 'these issues increasingly span multiple jurisdictions and involve a wide range of stakeholders, requiring coordinated advice across practice areas and international markets'.
The value of a joined-up approach
Perhaps the most significant change over the past decade is that client challenges no longer sit neatly within a single legal discipline.A fund launch may involve regulatory, finance, tax and governance considerations. A family office structure may require private wealth, corporate and dispute resolution expertise. An insurance transaction may combine elements of funds, regulatory and corporate law. Digital finance projects increasingly span multiple practice areas from inception.
As a result, clients place increasing value on advisers who can bring together specialist expertise across disciplines and jurisdictions while maintaining a clear focus on commercial outcomes.
10 years after opening our Guernsey office, that collaborative approach has become more important than ever. Whether navigating cross-border transactions, planning for generational change, exploring digital finance opportunities or managing regulatory and commercial risk, clients increasingly face challenges that span multiple disciplines and jurisdictions.
Fraser Hern, head of our Channel Islands business, says: 'Over the past decade, client needs have become more international, more interconnected and more complex. The ability to draw on expertise across practice areas and jurisdictions has never been more important in helping clients respond to change and seize new opportunities.'
As client priorities have shifted over the past decade, so too has the breadth of expertise within our Guernsey office, enabling us to support an increasingly diverse range of local and international clients. While the market will continue to change, the value of joined-up, commercially focused advice remains constant.
