What is the AIFMD passport?

The AIFMD passport allows approved alternative investment fund managers to manage and/or market alternative investment funds (such as hedge funds, private equity, private debt, and real estate funds) across the EU on the basis of a single authorization by their local regulator.

What does AIFMD stand for?

Alternative Investment Fund Managers Directive
Alternative Investment Fund Managers Directive (AIFMD) – Overview. Scope – Definition of AIF. AIFMD in the UK after Brexit. Marketing and Third Country Provisions. Disclosure and Reporting.

What is a marketing passport?

The first method is a marketing “passport” which has been introduced by the Alternative Investment Fund Managers Directive (AIFMD) to allow AIFs to be marketed to professional investors across the EU subject to certain conditions being met.

What is the difference between UCITS and AIFMD?

The key difference between the two texts is that UCITS requires a “risk management process” that “enables it to monitor, measure at any time” whereas the AIFMD legislation require “risk management systems” that will be used “in order to identify, measure, manage and monitor all risks … to which each AIF is or may be …

What is a full scope AIFM?

A full-scope UK AIFM is a UK AIFM which is authorised in accordance with the UK AIFM regime and, therefore, subject to its full requirements.

What is a non-EU AIFM?

Extensive implications for non-EU AIFMs. The AIFMD applies not only to European Union (EU) AIFMs, but also to those non- EU AIFMs that are managing or marketing AIFMs in EU Member States which have transposed the AIFMD into national law.

What are AIFM fees?

Ireland offers a very attractive taxation regime for AIFMs with the AIFM being taxed at either 12.5% or 25% on its profits. investment by the AIFM in an AIF which it manages may also qualify for the 12.5% tax rate.

Is UK subject to AIFMD?

Overview. The UK ceased to be a member state of the European Union on 31 January 2020. Amongst other consequences, the UK is no longer directly subject to EU law, including AIFMD. This has a profound impact on the provision of services by AIFMs from the EU into the UK and from the UK into EU Member States.

What is marketing Aifmd?

What is ‘marketing’ under the Directive? “Marketing” under the Directive means “direct or indirect offering or placement at the initiative of the AIFM or on behalf of the AIFM of units or shares of an AIF it manages to or with [professional] investors domiciled in the EU.”

Can AIFs be marketed to retail investors?

Facilities available to retail investors Each member state may, at its discretion, permit marketing of AIFs to retail investors in accordance with local laws – however a harmonised cross-border approach is currently lacking.

What does UCITS cover?

UCITS stands for Undertakings for the Collective Investment in Transferable Securities. This refers to a regulatory framework that allows for the sale of cross-Europe mutual funds. UCITS funds are perceived as safe and well-regulated investments and are popular among many investors looking to invest across Europe.