24 Nov 2020

The European Commission have published a public consultation on their review of the Alternative Investment Fund Managers Directive (AIFMD). The deadline for responses is 29 January 2021

The Consultation:

The consultation is split into 7 sections with a total of 102 questions:

I Functioning of the AIFMD regulatory framework, scope and authorisation requirements
This section includes questions on the functioning of the AIFM passport.

II Investor Protection
Questions in this section cover investor categorisation opening up the AIF universe to a larger pool of investors.

Views of the AIFMD rules on depositaries is sought and the introduction of a depositary passport.

Questions 40 to 45 relate to valuation including internal and external valuers and liability of valuers.

III International Relations
This section looks at the competitiveness of EU AIFs, and national private placement regimes for third country AIFs and delegation rules.

IV Financial Stability
This section is wide ranging; it is split into macroprudential tools, supervisory reporting requirements and leverage. It asks about harmonising the availability of liquidity risk management tools across the EU and defining inherently liquid/illiquid assets.

V Investing in Private Companies
This looks at whether the rules regulating investing in private companies are achieving their aim to increase transparency and accountability of IAFs holding controlling stakes in non-listed companies.

VI Sustainability/ESG
This section looks at how AIFMD should interact with the Sustainable Finance Disclosure Regulation, sustainability-related impacts outside of current EU Law and the EU Taxonomy.

VII Miscellaneous
This section asks about the powers and competences of ESMA, the sanctioning regime, the merger of the UCITS and AIFM regulatory frameworks.

Next Steps:

AREF will be responding to this consultation. If you would like to assist with AREF’s response please contact Jacqui Bungay (jbungay@aref.org.uk)

Author

Jacqui Bungay

Jacqui Bungay

AREF Policy Secretariat , AREF

Jacqui provides policy guidance and secretariat services to the AREF Board and AREF Management Committee as well as the following AREF Committees: Corporate Governance, ESG & Impact Investing, Investor, Public Affairs, Research and Information and Retails Funds. In addition, Jacqui monitors members’ compliance with AREF’s Code of Practice. 

Jacqui joined AREF in 2014 after working for over 25 years in fund compliance, client relationships and administration at Natwest Trustee & Depositary Services.