AIFMD II – A Summary of the Key Changes

10 years after the Alternative Investment Fund Managers Directive (AIFMD) entered into force, the Council of the European Union (EU) has published the final text of the political agreement reached in relation to the changes to the AIFMD. This follows an announcement on July 20, 2023 that the Council of the EU and the EU Parliament had reached agreement on the targeted amendments to the AIFMD.

The amendments to the AIFMD will introduce new rules relating to loan origination activities as well as enhanced liquidity management requirements for open-ended funds. These changes are combined with wider amendments to reporting requirements, investor disclosures, and a marketing ban for non-EU AIFMs and non-EU AIFs whether either is established in a jurisdiction considered high-risk/non-cooperative jurisdictions from an AML and tax perspective, among others changes.

The team at Paul Hastings has put together a summary of the key changes to the AIFMD.