AIF & UCITS legislation, Fund Administration and Custody

In recent years, Cyprus has made enormous moves towards the enhancement and completion of the national legal framework concerning investment funds.  With these legislations in place, Cyprus is set to be established as an international fund jurisdiction.

For the Funds sector to achieve both recognition and profitability it is important for professionals within the sector to be equipped with the most updated knowledge, best practices and tools, in order to obtain a solid understanding of the processes related to fund administration in Cyprus.

This course will provide an update to the current developments of the Cyprus Law regarding CIFs and their obligations. Moreover, the course expands on the UCITS and AIF law and management. The aim being to update the participants with the current requirements and guidelines issued by CYSEC regarding the provision of Investment Services.

After the completion of this workshop, participants will be able to distinguish the difference between UCITS and AIFS and will grasp an understanding of what the prerequisites and the ongoing requirements are for obtaining authorization for either a UCITS or an AIF and a UCITS Management company and an AIF Manager.

Additionally, the workshop will provide an overview of the fund operations process highlighting the key processes, procedures and roles within the fund administration. Practical examples, illustrations and where possible exercises will be used to enhance the learning process.

Seminar Content

Alternative Investment Funds (AIF)

• Purpose and Scope of AIF law
• Types and forms of AIFs
• Umbrella Structures, Common Funds, Public Offerings, Listing possibilities
• The Depositary Function
• AIFM
• Authorisations, Operating Conditions, Organisational Requirements, and Delegation of Functions of AIF Managers
• Transparency Requirements and Marketing of Units
• Cooperation with other Authorities
• Cross Border Provision of Services
• Supervision

Undertakings in Collective Investment Transferable Securities (UCITS)

• The funds industry in Cyprus today
• UCITS framework
• What is a UCITS fund, when did they start, historical background
• Rulebook, prospectus and other documents of the funds
• Units, Types of funds, Management companies
• European passport and freedom in services provision
• Permitted investments
• Custodian (depository), what is the custodian and why it is important to the investors
• Existing legal framework, UCITS IV Directive, Law 78 (I) 2012
• Basic provisions of the law
• AML rules for UCITS
• New legislation, what changed with UCITS V Directive
• Changes in custodian’s role and responsibilities, in remuneration policy, in the sanctions framework
• Why the new directive brought only these changes?
• How investors’ rights are better protected and promoted?

Fund Administration

• A clear understanding of the role and responsibilities of fund administration in Cyprus
• The confidence to liaise with investment managers, fund sponsors, custodians, selling agents and investors
• The latest developments in managing and controlling fund administration processes and procedures
• Review some of the more recent changes in the investment environment and their impact on the investment process, the different styles of fund management, and the fund administrator.
• Become familiar with the offering documents, reporting requirements and the problems faced by fund administrators

Who Should Attend

The course will be of benefit to all those professionals employed within the Funds sector as well as those who are seeking to join the industry.  This will include any professional from the fund operations/administration teams, risk managers, compliance monitoring teams, audit and fund managers or third parties, lawyers, auditors and regulators.

Employees and Managers of Cyprus Investment firms and banks who offer investment services, compliance officers and internal auditors.