What is the difference between UCITS and AIFMD?

What is the difference between UCITS and AIFMD?

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 …

Is an FCP a UCITS?

UCITS ( Undertakings in collective Investments in Transferable Securities) are investment vehicles, which can have the form of a common fund (FCP) or an open-ended investment company (SICAV).

What are the types of AIF?

An AIF will have to seek registration under one of the categories of funds specified under the Regulations. Currently, the AIF Regulations provide for three categories of funds: – Category I Alternative Investment Fund; – Category II Alternative Investment Fund; and – Category III Alternative Investment Fund.

Is AIFMD a UCIT?

AIFMD. The AIFMD applies to managers of funds that are not UCITS, including hedge funds, private equity funds, and real estate funds. Taken together, the UCITS Directive and the AIFMD provide for a comprehensive set of rules for fund management activities in the EU.

What is a Luxembourg SCSp?

The special limited partnership (SCSp) is a relatively new entity. It operates similarly to a limited partnership. The SCSp, which was inspired by the limited partnership and is not yet widespread in Luxembourg, serves as an additional investment vehicle suited to investment funds. An SCSp is a commercial company.

What is difference between PMS and AIF?

Pooling of funds: By nature, AIFs are a pooled investment fund while a PMS is a tailor-made portfolio of securities and involves no pooling of investor funds. PMS investors directly own the portfolio stocks in their demat account.

What is cat1 AIF?

Category I AIFs is one of the broad categories of AIF that invest in startups, SMEs and socially and economically viable projects and have 4 types of funds. 1. Category I AIFs is one of the broad categories of AIF that invest in startups, SMEs and socially and economically viable projects and have 4 types of funds: 2.

What does AIFMD and UCITS V mean for fund managers?

WHAT DOES AIFMD AND UCITS V MEAN FOR FUND MANAGERS? Ÿ The introduction of the Alternative Investment Fund Managers Directive (AIFMD) on July 22, 2014 initiated a number of changes on the alternative investment management industry, which encapsulated any fund management house that did not adhere to UCITS.

What do you need to know about AIFM in Denmark?

When registering, the sub-threshold AIFM is required to state its name and company registration number, identify the AIFs that it manages and describe the investment strategies of these AIFs. A Danish registered sub-threshold AIFM may market:

Which is the most common form of UCITS in Denmark?

a securities fund (not a separate legal entity but a contractual structure). In Denmark, the most common form of UCITS is the investment association. Any marketing of a Danish UCITS requires the prior authorisation of the UCITS by the Danish Financial Supervisory Authority (the “Danish FSA”).

Do you need EEA authorisation to open AIF in Denmark?

Any marketing of an AIF managed by an EEA authorised AIFM requires the prior passporting of the AIFM’s authorisation into Denmark in accordance with the AIFMD. A “top-up” authorisation by the Danish FSA is required in order to market an AIF to retail investors in Denmark.