UK GPs ready for AIFMD

The vast majority of UK GPs expect to be authorized under the Alternative Investment Fund Managers directive (AIFMD) well before the July 22 deadline.

In a poll conducted at a recent seminar, held by regulatory service provider Cordium, 92 percent of fund managers said they expect to be AIFMD authorized by April 22 – three months prior to deadline.

The remaining 8 percent expected to be authorized by July 22.

However, 82 percent of GPs polled have yet to sign an agreement with a depositary, although all GPs polled said they have at least chosen their depositary.

But fears an un-signed depositary agreement would prevent GPs from submitting a successful AIFMD application were recently quashed by the UK securities regulator, the Financial Conduct Authority (FCA).

In response to GPs’ enquiries, the FCA’s website said a GP does not need to provide complete information on their depositary arrangements for their AIFMD application to be accepted, but that the depositary segment (section 9) cannot be left blank.

Where depositary arrangements have not been finalized, GPs should complete Section 9 with the name of their intended depositary, and details of when they expect to be able to finalize the contractual arrangements, the FCA advised.

GPs should also include a brief description of the due diligence that they have, or will, undertake on the depositary.