The European Commission is reviewing the effectiveness of the AIFMD and considering a range of targeted amendments to improve the functioning of the legal framework. Based on the outcome of the review, the Commission may bring forward an amending proposal for consideration by the EU co-legislators.
The Commission has completed the first stage of the process by carrying out an assessment of the extent to which the objectives pursued by the AIFMD have been achieved. On 10 June 2020 a report was presented to the European Parliament and Council that concluded that the AIFMD has been largely effective. The AIFMD has played an important role in creating an internal market for AIFs and reinforcing the regulatory and supervisory framework for AIFMs in the Union. Nevertheless, the report identifies a number of areas that the effectiveness of the regulatory framework could be improved and more importantly, where regulatory gaps need to be addressed.
In October 2020, the Commission launched a public consultation to gather input from stakeholders including AIFMs, AIF distributors, industry representatives, investors, investor protection associations and financial markets authorities on potential changes to the AIFMD. It runs until 29 January 2021.
This event was an opportunity for interested parties to discuss the key issues and debate possible policy solutions. Three panels were held, focusing on macro prudential, investor protection and competitiveness matters to facilitate the exchange of views among the panellists and contribute to the Commission’s work on this important file.