In the Press
February 15, 2023

AIFMD II: Electric Boogaloo (The Drawdown)

The regulatory roadmap for 2023 includes reforms to the Alternative Investment Fund Management Directive (AIFMD II), which have recently been approved by the European Parliament’s Committee on Economic and Monetary Affairs (ECON). Final legislation is still months away and its implementation another two years. Private Investment Funds and Financial Services partner Andrew Henderson provides some colour on this: “While the updates to legislation around marketing touch on retail investors, the topics of delegation and loan-origination funds are key, as the former are fundamental to how a fund is managed and the latter receive new rules under the accepted text.” It's expected that these will be further expanded to include benchmark administration and credit servicing. “The parliament has built on the Commission’s original draft. In addition to the core activities of managing an AIF and risk management, delegation is likely to be extended to activities such as administration and marketing, which may impact the roles of third-party administrators and placement agents,” commented Private Equity partner Ed Hall to The Drawdown.