Biggest Reform Of EU Fund Rules In A Decade: AIFMD II & UCITS VI

The European Union is set to implement what is widely regarded as the most significant overhaul of its investment funds framework in over a decade, through the introduction of AIFMD II and the parallel updates to the UCITS regime (commonly referred to as ‘UCITS VI’), under Directive (EU) 2024/927 which amends the existing AIFMD and UCITS frameworks, with both reforms largely scheduled to apply from 16 April 2026 (subject to transposition into local laws by that deadline).

Although these developments may, at first glance, be viewed as part of the EU’s ongoing process of regulatory refinement within an already mature framework, they in fact reflect a more substantive shift in regulatory priorities, driven in large part by the evolution of financial markets, the rapid growth of private credit and the increasing complexity of cross-border fund structures.