By Bao Nguyen, Nick Tootle and Stephen Ng (pictured) – With a new administration in office, an evolving regulatory landscape, and tax changes potentially on the way, investment funds should be proactive about watching for any shifts in tax policy or compliance requirements that might impact future planning.
Legal & Regulation
By A Paris — From the appeal of no income tax, to the supportive business community and the weather and lifestyle it offers, Florida has continued on its upward trajectory as an attractive location for financial and technology firms.
Ryan Hughes, head of active portfolios at AJ Bell, comments on the delay to the outcome of the FCA consultation on open-ended property funds.
FundRock has secured regulatory approval from the Autorité des Marchés Financiers (AMF), the French financial markets regulator, for FundRock FFAM, its new AIFM service in France.
Regulation has been at the forefront of investors’ minds ever since the global financial crisis in 2008. In the current environment, the need for oversight and monitoring is even more necessary as the industry navigates uncharted waters. However, this requirement for more robust supervision needs to be tempered with flexibility.
Private assets have experienced significant growth in the last few years and Ireland is now set up to further benefit from this expansion through the Investment Limited Partnerships (Amendment) Act 2020 (ILP Act) which was enacted into law in December 2020.
Managers looking to take advantage of the new structure launched in Ireland, the Investment Limited Partnership (ILP), will be able to maximise cost efficiency and time-to-market. The Irish legislation allows the adoption of an umbrella structure, meaning managers can launch sub-funds swiftly and save on legal and audit fees.
In a hunt for yield, investors have been enticed to consider allocating to illiquid asset classes in long-term, closed-ended products. Limited partnerships have been and continue to be the structure of choice for such investments, particularly for private equity (PE) and venture capital (VC).
Various market forces are driving prospects for alternative managers globally, with Ireland being a key destination. Persistent low interest rates are pushing institutional investors towards alternative assets. This, coupled with the Covid pandemic further curtailing appetite for bank lending, has created opportunities for managers, particularly in the debt/credit spheres.
By A Paris – When the Alternative Investment Fund Managers Directive was enacted, there was talk of AIFMD becoming a brand to rival UCITS. The latest enhancements to the Investment Limited Partnership (ILP) structure in Ireland may well oil the wheels in the journey to making this a reality.