Ireland is becoming a popular destination for fund managers under new EU regulations.
The Irish Funds Industry Association said the Central Bank of Ireland is processing applications from 72 management firms and has already authorized 11 managers under the new Alternative Investment Fund Managers Directive. In recent weeks 47 applications have been received.
The CBI expects to process up to 90 applications between now and the deadline on July 22, 2014.
As of July 2014, the Qualified Investor Fund structure will be replaced by the more flexible Qualified Investor Alternative Investment Fund which will be fully regulated under the AIFMD. The QIAIF is the preferred structure for use in the regulated alternative investment area because it is exempt from the general conditions relating to investment policies and borrowing restrictions.
Said Pat Lardner, CEO of the IFIA, in a statement:
“We are at a critical stage in the process; we are now half way through the transition period with a clear deadline in sight. This is the first time the Central Bank of Ireland has released these figures and they clearly highlight that Ireland is going to be a domicile of choice for fund managers looking to passport funds across the EU.
Managers have two choices for managing and marketing alternative investment funds in the EU: the first is to acquire a marketing “passport” which allows them to market their funds across the EU. The second is to market the fund in a specific member state in accordance with that state's rules.
Ireland remains the leading country internationally for the servicing and domiciling of alternative investment funds, with €1.5 trillion in alternative assets administered there.