Today marks the deadline for the Alternative Investment Fund Managers Directive (AIFMD). The European Securities and Markets Authority (ESMA) has established AIFMD based on European Union legislation as a comprehensive regulatory framework for alternative investments.
ESMA has provided an updated Q&A on the application of AIFMD (see below).
The Managed Funds Association’s President and CEO Richard H. Baker issued the following statement regarding AIFMD:
“July 22, 2014 marks an important deadline in the EU for the Alternative Investment Fund Managers Directive (AIFMD). The EU, ESMA, and competent authorities in the Member States have made important progress in establishing a comprehensive regulatory framework governing the alternative funds industry. Despite that progress, there is still much work to be done to implement the AIFMD across the EU.
MFA continues to be broadly supportive of AIFMD’s goals to bring about a more transparent and globally harmonized regulatory framework for the alternative investment fund industry, in a manner consistent with the G20 commitments. MFA is committed to working with policy makers and regulators as they continue to implement the AIFMD.
Many questions do remain for competent authorities to address in order to achieve the goals of AIFMD as a workable regulatory framework and ensure EU investors maintain access to both EU and third country fund managers. We look forward to continuing our work with the Commission, regulators at ESMA, as well as member-state competent authorities.
We believe the transparency, oversight, and investor protections afforded under a harmonized AIFMD will further enable the alternative investment community to deliver safe, stable returns, diversification and sound risk management to the benefit of investors, including pension funds, universities, and endowments throughout Europe.”