AIFMD In The EU: Scope, Compliance & Alternative Structures

The regulatory landscape for investment funds for non-retail investors in the European Union is largely governed by the Alternative Investment Fund Managers Directive (AIFMD). This regime imposes extensive obligations on fund managers seeking to raise and manage capital across the EU, particularly regarding investor protection, risk management, and transparency. However, not all investment vehicles fall within its scope. Understanding how AIFMD applies – and how it can be lawfully avoided through alternative structuring – is crucial for fund sponsors, asset managers, legal advisors, and institutional investors operating in or targeting the European market.

Scope of Application of AIFMD