The Alternative Investment Fund Managers Directive

The Alternative Investment Fund Managers Directive (the "AIFMD") is a response to difficulties in the financial markets and calls for greater regulation of alternative investment funds ("AIFs") and alternative investment fund managers ("AIFMs"). The aim of the AIFMD is to implement a coordinated and stringent regulatory framework for AIFMs across the European Union (the "EU"). This Commentary sets out the key features of the AIFMD and considers its impact on the AIFMs that will fall within its scope. Throughout the Commentary, Action Points highlight suggestions as to the steps AIFMs should be taking in relation to particular aspects of the AIFMD.

Background and Implementation

The finalisation of the AIFMD came after a protracted period of negotiation and consultation which encompassed several draft versions of the AIFMD and the extensive "trialogue" procedure involving the European Commission, European Parliament and the Council of the EU. The result was a