Marketing your Fund in UK & Europe

The Alternative Investment Fund Managers Directive (“AIFMD”) came into force on 22 July 2013, resulting in all alternative investment fund managers (“AIFMs”) to be appropriately authorised to manage alternative investment funds (“AIFs”) which are established or marketed in the EU.  This include AIFs that may be domiciled offshore and or in non-EEA jurisdictions, such as Cayman Islands or Asia. 

An 'AIFM' is an entity that performs portfolio management services or risk management services for an AIF.  (An AIF means any fund, regardless of structure, assets, jurisdiction or investment strategy).  Also see UCITS funds on our website which are distinctively different to AIFs.  

The AIFMD introduced a European passport under which full-scope AIFMs can manage and market AIFs throughout Europe.  However, the EU Passport is not yet available for non-EU AIFMs marketing a non-EU AIF, however this is expected to be available by 2020 or imminently after the launch of 'AIFMD II', which will be an enhanced framework of the current AIFMD regime.  

Therefore, AIFMs from non-EEA/third countries such as Asia and US are required to market their AIFs in the UK and Europe in accordance with the AIFMD national private placement regime (NPPR) or engage with a European AIFM who would adhere to the AIFMD regime.  The European AIFM will also assist on marketing and distribution best practices, MiFID II (where required) and all other regulatory requirements of the fund. 

If you require further information in how you can market your fund in the UK and Europe,  please contact Nomaan Jamal on njamal@xcapglobal.com or call +44(0)207 8469000.