Most attractive fund domiciles for alternatives in 2025
When asked about the most attractive fund domiciles for alternatives over the next 12 months, fund managers identified the UK as the leading choice, with 26.1% of respondents selecting it. This indicates strong confidence in the UK as a hub for alternative investments, despite ongoing political and economic uncertainties.
Luxembourg follows with 16.6%, remaining a popular domicile due to its favourable regulatory environment for funds, while Singapore ranks closely behind at 15.4%, reflecting its growing role as a gateway to Asian markets.
Other notable domiciles include Ireland at 13.3% and the USA at 12.9%, both of which remain important, though less dominant domicilies for European fund managers. The Channel Islands and Cayman Islands each garnered 7.1%, reflecting their continuing appeal for certain offshore fund strategies. The results for Delaware (a popular domicile) likely reflect the European focus of the GP respondents.
Michael Johnson commented,
Whilst it is surprising not seeing Luxembourg top the list, the UK’s continued appeal as a top domicile for alternative funds amongst European fund managers demonstrates its resilience in the face of uncertainty.
UK 26.1% Luxembourg 16.6% Singapore 15.4% Ireland 13.3% USA 12.9% Channel Islands 7.1% Cayman Islands 7.1% Delaware 1.7%
