What is AIFMD filing?

The purpose of AIFMD reporting is to effectively monitor and prevent systemic risk and market disruptions. The reporting obligation applies to registered and authorised AIFMs, and to those AIFMs that are established in a third country (non-EEA country), which market in Finland the AIFs they manage.

What is Article 42 of the AIFMD?

Changes to the Article 42 AIFMD NPPRs The Article 42 National Private Placement Regimes (NPPRs) have been used by many U.S. and other non-EU AIFMs to market their AIFs into the EU since the AIFMD took effect in 2014.

Can a non EU AIFM manage an EU AIF?

Detailed rules are contained in Article 37 for a non-EU AIFM intending to manage EU AIF or market AIF that it manages. Article 37(1) requires such non-EU AIFM to have prior authorisation to do so from their Member State of reference. Pursuant to Article 37(2) a non-EU AIFM must comply with the Directive.

Who falls under AIFMD?

Who is subject to the AIFMD? All alternative investment funds managers established in the European Union, whether they manage EU or non-EU AIF, are subject to the AIFMD. The AIFMD also governs the marketing in the EU of AIF managed by an AIFM established outside the EU.

Why was AIFMD introduced?

The objective of the AIFMD is to introduce safeguards to increase the transparency of this type of investment towards the employees of the companies acquired and the public at large and to address potential risks to portfolio companies acquired by private equity funds, while minimising any competitive distortions that …

What does AIFMD stand for?

Alternative Investment Fund Managers Directive
Alternative Investment Fund Managers Directive (AIFMD)

What is an AIF under AIFMD?

AIFMD (UK) Its focus is on regulating the UK AIFM rather than the AIF. An AIF is a ‘collective investment undertaking’ that is not subject to the UK UCITS regime, and includes hedge funds, private equity funds, retail investment funds, investment companies and real estate funds, among others.

What is the difference between AIFMD and UCITS?

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 …

When did AIFMD become effective?

Implementation. The directive came into force on 21 July 2011.

Does the AIFMD apply to non-EU AIFMs?

Marketing in the EU: If a non-EU AIFM does not intend to “market” a non EU-AIF to investors domiciled or with a registered office in the EU, the AIFMD will not apply to it. “Marketing” under the AIFMD means an offering (direct or indirect) or placement of units or shares of an AIF to or with such investors.

What is marketing under the AIFMD?

“Marketing” under the AIFMD means an offering (direct or indirect) or placement of units or shares of an AIF to or with such investors. As such, in the absence of the existence of a fund (with units or shares to be marketed), there is no “marketing”.

How can I market my AIF to EU investors?

All Non-EU AIFMs who wish to market EU or Non-EU AIFs to EU investors, must obtain authorization by their Member State of Reference if they wish to market an EU AIF or to market using a passport.

What is the difference between AIF and AIFM?

For many groups however, the AIF appoints an external manager. The AIFM will be the legal entity with ultimate responsibility for risk portfolio management of the fund. If a firm is appointed by or on behalf of an AIF to bear responsibility for these functions, it will be the AIFM.