The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has updated its Q&As for the application of the Alternative Investment Fund Managers Directive (AIFMD) as well as the UCITS directive.
For AIFMD and UCITS, ESMA has added two new Q&As on the guidelines on performance fees in UCITS and certain types of AIFs.
For AIFMD, the Q&As provides clarification on the crystallisation of performance fees, on the timeline of the application of the performance reference period and the scope of the guidelines in respect of ELTIFs.
Meanwhile, the Q&As for UCITS Q&As provides clarification on the crystallisation of the performance fees and on the timeline of the application of the performance reference period.
The purpose of the AIFMD and UCITS Q&A documents is to promote common supervisory approaches and practices in the application of the guidelines.
Last month, “Don’t try to fix something that’s not broken” was the message from associations to the European Commission (EC) consultation on the AIFMD Review.
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