Proposal for a Regulation amending Regulation (EU) No 345/2013 on European venture capital funds (EuVECA) and Regulation (EU) No 346/2013 on European social entrepreneurship funds (EuSEF) - 14.07.2016
The Proposal is designed to improve existing legislation that governs European Venture Capital Funds, EuVECA, and European Social Entrepreneurship Funds, EuSEF. These are funds supporting young and innovative companies, or enterprises with the intention of generating positive social impact. The Proposal will amend the regulations in three main ways: extending the range of managers eligible to market and manage EuVECA and EuSEF funds; increasing the range of companies that can be invested in by EuVECA funds; and making the registration and cross border marketing of these funds easier and cheaper. This Proposal is part of the Capital Markets Union (CMU) Action Plan and very well fits with its aim to unlock market-based investments to SMEs and long-term projects.
Public consultation on the review of the European Venture Capital Funds (EuVECA) and European Social Entrepreneurship Funds (EuSEF) regulations – 30.09.2015
The objective of this consultation is to collect further information on the performance of the current legislation and identify measures the Commission could propose to increase take-up of the of EuVECA and EuSEF fundraising passports for venture capital and social entrepreneurship funds.
This consultation takes up the replies received in the CMU consultation and requests more details as to where and how the regulations could be changed to increase the take up of these funds without reducing the existing levels of investor protection.
Regulation on European Social Entrepreneurship Funds
The regulation sets out a new ”European Social Entrepreneurship Fund“ label, so investors can easily identify funds that focus on investing in European social businesses. The approach is simple: once the uniform requirements defined in the proposal are met, managers of social entrepreneurship funds will be able to use the new label and market their funds across the whole of Europe. Every fund using the label will have to prove that a high percentage of investments (70% of the capital received from investors) are spent in supporting social businesses. Uniform rules on disclosure will ensure that investors get clear and effective information on these investments.
Text of the regulation as adopted by the European Parliament and the Council (17.04.2013)
Implementing regulation (EU) No 594/2014 – 03.06.2014
On 3 June 2014 the Commission adopted implementing technical standards for Regulation (EU) No 346/2013 on European social entrepreneurship funds (EuSEF). The implementing regulation deals with the format of the notification according to Article 17(1) concerning events related to the passport of the managers of qualifying social entrepreneurship funds and to article 22(3) concerning removal of a manager of a EuSEF from the register.