Proposed FCA Guidance - What do the changes mean?
Earlier this year, the European Securities and Markets Authority
("ESMA") published guidelines on the remuneration
policies managers of alternative investment funds should implement
to comply with the requirements of the Alternative Investment Fund
Managers Directive ("AIFMD"). The guidelines introduce
new standards for alternative investment managers, some of whom are
not currently subject to any remuneration requirements.
BIPRU firms, including most hedge and debt fund managers are in
fact already subject to remuneration requirements set out in the
Capital Requirements Directive ("CRD") and the FCA's
Remuneration Code. AIFMD and ESMA's AIFM remuneration
guidelines are based on, but not identical to, the CRD
provisions.
