ESMA updates funds FAQs

ESMA has published updates to its FAQs on:

  • the AIFMD: this includes questions on whether creating a new share class of an AIF which is to marketed cross-border with existing share classes, constitutes a material change to the original notification and a confirmation that where an AIFM notifies a material change to a notification it must submit a full set of documentation with the revised notification letter. Other clarifications confirm that an AIFM remains responsible for functions it delegates, and states that an AIF itself cannot perform the AIFMD investment management functions if it has appointed an external-AIFMD, and that the external AIFM cannot delegate the functions to it because the AIF is not a “third party”; and
  • UCITS: the new questions look at how to apply investment limits where a UCITS wants to invest in an umbrella fund and confirm that the relevant limits should be applied at sub-fund level.