Alternative Investment Fund Managers (AIFMs)An EU or third-country AIFM
marketing units or shares of
AIFs they manage in Cyprus.

Hedge funds and private equity funds and their Investment Managers (AIFMs) have not been subject to the same rules to protect the investing public as mutual (including UCITS) and pension funds and their managers. In general, the lack of financial regulation is seen by some to have contributed to the severity of the global financial crisis. The AIFM Directives and Laws are aimed at redressing this perceived regulatory gap with Supervising Authorities.

From 2015 on the AIFM Law shall also apply to non-EU AIFMs having designated Cyprus as their “member state of reference” for their management and/or marketing activities in the EU.

The AIFM Law shall apply in particular to the following activities

• A Cyprus AIFM managing Cyprus AIFs or AIFs of another Member State or a third country.
• An EU or third-country AIFM managing Cyprus AIFs.
• A Cyprus AIFM marketing units or shares of AIFs they manage in the other Member States or third countries.
• An EU or third-country AIFM marketing units or shares of AIFs they manage in Cyprus.

Vertu can assist you in the following

• Prepare/review documentation of the license application for AIMF including Internal Regulations Manuals, Business Plan, Organisational Structure, AML manuals, and procedures.
• Ensure that documentation and operation is in compliance with the regulatory body requirements: review and amendment of constitutional documents, safeguard compliance with the requirements of the AIFM Law, review of delegation agreements and other agreements to be entered into by AIFMs and service providers, and make changes where needed.
• Tax advice on Cypriot Tax and VAT implications arising from the operations of an AIFM.
• Audit services: Ensuring support in the design and implementation of the required reporting framework under AIFM Law.
• Advisory services: Prepare various manuals, appoint on your behalf qualified executive and non-executive directors, prepare Internal Audit Manual and conduct annual Internal Audit Reviews; act as Compliance Officer with regard to legislative matters.