ELTIF: Level 2 Delegated Act Published

On 23 March 2018, the EU Commission supplemented the European Long Term Investment Fund ("ELTIF") Regulation (Regulation (EU) 2015/760) by adopting a new Delegated Regulation (EU) 2018/480 which specifies a number of points that are applicable to ELTIFs:

• the circumstances in which the use of financial derivative instruments can be considered as solely serving the purpose of hedging the risks inherent in other investments of an ELTIF;
• the concept of sufficient length of life of an ELTIF;
• the criteria for the assessment of the market for potential buyers;
• the criteria for the valuation of the assets to be divested; and
• the specifications on the facilities available to retail investors.