L-QIF – Draft Implementing Provisions

On September 23, 2022, the draft revised Collective Investment Scheme Ordinance ("CISO") has been published for consultation. The new provisions mainly implement the rules on the new unregulated fund category for qualified investors, the so-called Limited Qualified Investor Fund ("L-QIF"). The consultation follows the enactment of the revised Collective Investment Schemes Act ("CISA") in December 2021 and is scheduled to last until December 23, 2022.

1. Introduction

In December 2021, the Swiss Parliament enacted amendments to the CISA in order to introduce the L-QIF, a new category of funds reserved to qualified investors. Provided it is managed by an institution subject to prudential supervision by the Swiss Financial Market Supervisory Authority ("FINMA"), the L-QIF is exempt from any FINMA authorization and supervision. Also, this new fund type will offer significant flexibility in terms of investment rules and restrictions.