The EU Commission Proposes Amendments to the Regulation of European Long-Term Investment Funds
Published 6 January 2022
Category: ELTIFs
On 25 November 2021, the European Commission published its proposal to amend the Regulation of European Long-Term Investment Funds (ELTIFs) as part of a new Capital Markets Union (CMU) legislative package. The legislative package includes a review of the AIFMD. You can find more information about the AIFMD review here.
The proposal to amend the Regulation of European Long-Term Investment Funds (ELTIFs) aims to increase uptake of ELTIFs across the EU. Proposed changes include:
- the existing EUR 10,000 initial investment requirement and the maximum 10% aggregate threshold requirement for retail investors with portfolios below EUR 500,000 are removed;
- the threshold for investing in real assets is significantly lowered and the requirement that real assets are owned directly or via qualifying portfolio undertakings are removed;
- restrictive fund rules on portfolio composition and diversification as well as investment concentration are made more flexible; and
- the possibilities of borrowing cash are improved.
See the proposal for the amendments here.
What’s next: All elements of the legislative package will now be discussed by the European Parliament and the Council.
Tags: Retail Investors
Also tagged ‘Retail Investors’
ELTIF 2.0 in force
Today, 10 January 2024, the transition period for the regulation of 15 March 2023 amending the Regulation for Long-Term Investment Funds (ELTIFs), also known as ELTIF 2.0, has ended. Thus, ELTIF 2.0 has now completely entered into force.
ESMARegulatory Technical StandardsRetail InvestorsELTIF 2.0 now published in the OJEU
The amendments include a broader scope of eligible assets, a simplified definition of ‘retail assets’, which include lighter retail investor requirements, and an increased market capitalization threshold.
Retail InvestorsELTIF 2.0 Adopted
On 15 February 2023, the European Parliament has voted in favour of an update to the EU’s Regulation for Long-Term Investment Funds (ELTIFs), also known as ELTIF 2.0.
Retail InvestorsEuropean Commission has Launched a Public Consultation on a Retail Investment Strategy
On 11 May 2021, the European Commission launched a public consultation on a retail investment strategy for Europe.
AIFMDMarketingPre-MarketingRetail InvestorsNew Directive to Amend AIFMD has been Adopted
On 14 June 2019 the Council adopted the new directive amending i.a. the Alternative Investment Fund Managers Directive (AIFMD).
AIFMDCross-BorderMarketingPre-MarketingRetail InvestorsVenture CapitalEU Parliament Approves Final Compromise to Amend AIFMD
Highlights include a definition of pre-marketing, rules on de-notification in countries with no investor interests and rules on facilities made available to retail investors.
AIFMDCross-BorderMarketingPre-MarketingRetail InvestorsCross-Border Distribution of Collective Investments Undertakings
On 16 April 2019, the European Parliament adopted the European Commission's initiatives to improve the efficiency of cross-border distribution of Alternative Investment Funds (AIFs) and EuVECA funds by increasing transparency and harmonising diverging national rules.
AIFMDCross-BorderMarketingPre-MarketingRetail InvestorsVenture CapitalOther updates
SFDR 2.0 proposal
The European Commission has proposed amendments to the SFDR (the “Proposal”), introducing major changes to the current framework.
Disclosure RequirementsSFDRSustainabilityThe Danish FSA publishes report on investigation concerning principal adverse impacts
FSA has looked at how 15 financial market participants have considered principal adverse impacts of their investment decisions on sustainability factors.
SFDRSustainabilityThe Danish FSALegislative proposal for the Danish implementation of parts of the “stop-the-clock” directive
With Bill No. L 13, companies that have not yet reported under the CSRD rules will be subject to a two-year postponement in the requirements.
SustainabilityESMA publishes draft Regulatory Technical Standards on open-ended loan-originating AIFs
ESMA has published the draft Regulatory Technical Standards (RTS) on open-ended loan-originating alternative investment funds (AIFs).
AIFMDESMARegulatory Technical StandardsRisk ManagementProposal on Danish implementation of AIFMD II
The purpose of the amendments to the AIFM Act is to implement certain parts of the AIFM Directive II which entered into force on 15 April 2024.
AIFMDAIFMD reviewCross-BorderDanish RegulationChanges to financial reports for Danish UCITS
The Danish FSA has submitted a draft executive order amending the executive order on financial reports for Danish UCITS for public consultation.
Danish RegulationSFDRSustainability