UCITs v AIFMD. Which works for your strategy?
- Opportunities, challenges, and solutions in the European Market
- Key European distribution channels
- Sustainable & responsible investment
- Investment alternatives
- Hedge funds industry growth drivers
- The AIFMD Passport
The AIFMD Passport
- At the present the AIFMD passport option is only open to EU AIFMs managing and marketing EU AIFs.
- While non-EU managers may consider establishing an EU-domiciled fund in order to access EU-domiciled investors, the requirement to establish and EU AIFM means that for a lot of non-EU managers, the costs outweigh the benefits.
- We see most of our non-EU domiciled clients who are establishing an EU-domiciled fund utilise the services of third-party management companies.
- Essentially the third-party management company operates as the AIFM of the EU fund but delegates investment management back to the non-EU manager. Under the AIFMD, an AIFM is permitted to delegate portfolio management provided it retains risk management responsibility.
- Some platform providers also offer a fund platform so that external managers can form a separate sub-fund within their platform fund and which can save time and costs.
To learn more about Waystone’s AIFMD and UCITS Management Company Solutions, get in touch with our European Solutions team today.