AIFMD II Makes Guernsey Even More Attractive As A Fund Domicile

Briefing Summary:

AIFMD II introduces substantial new obligations for EU AIFMs, but these do not apply to Guernsey managers except for expanded reporting requirements. Guernsey AIFMs can continue marketing to EU professional investors through NPPRs, as Guernsey meets all revised third‑country criteria under AIFMD II. As a result, Guernsey remains an efficient and attractive domicile for fund managers seeking EU capital without the heavier regulatory burden placed on EU‑based firms.

Summary

AIFMD II significantly increases the burdens imposed on EU domiciled managers ("EU AIFMs") of alternative investment funds ("AIFs"). Guernsey managers (as Non-EU AIFMs) avoid the additional obligations of AIFMD II, save for expanded reporting and disclosure requirements (which apply to both EU and Non-EU AIFMs).