On Wednesday, 10 June 2020, the European Commission (EC) published its assessment on the application and the scope of the Alternative Investment Funds Managers Directive (AIFMD).
Prepared under Article 69 of AIFMD, the report assesses on the impact of AIFMD on investors, Alternative Investment Funds (AIFs) and Alternative Investment Fund Managers (AIFMs) in the European Union.
Despite more discipline around valuation of AIFs’ assets, some areas, such as the liability of external valuers, remain uncertain. This is unlikely to trigger an amendment of AIFMD.
Disclosure requirements despite leading to increased costs, bring more transparency in the investors’ investment decision making process.
No evidence to support that the current threshold applying to AuM should be adjusted.
Cross-Border Fund Distribution of Investment Funds to increase transparency of regulatory fees charged by NCAs for processing AIF notifications in relation marketing of AIFs.
Asset segregation where custody is delegated to a third party have been rationalised by the CRD, provided that AIFMs belonging to the same corporate group will have to apply AIFMD rules on remuneration. They will then avoid becoming subject to multiple sets of rules regarding different financial intermediaries.