ARTICLE
29 November 2024

AIFMD II Consultation Opens In Ireland

AC
Arthur Cox

Contributor

Arthur Cox is one of Ireland’s leading law firms. For almost 100 years, we have been at the forefront of developments in the legal profession in Ireland. Our practice encompasses all aspects of corporate and business law. The firm has offices in Dublin, Belfast, London, New York and Silicon Valley.
The Department of Finance in Ireland opened a public consultation on 22 November 2024 inviting submissions on the exercise of certain national discretions in Directive (EU) 2024/927 ("AIFMD II").
Ireland Wealth Management

The Department of Finance in Ireland opened a public consultation on 22 November 2024 inviting submissions on the exercise of certain national discretions in Directive (EU) 2024/927 ("AIFMD II").

AIFMD II amends Directive 2011/61/EU (the Alternative Investment Fund Managers Directive)("AIFMD") and makes certain changes to Directive 2009/65/EC (the "UCITS Directive"). EU member states have until 16 April 2026 to transpose AIFMD II into national law.

Most of the provisions in AIFMD II will be transposed on a fully harmonised basis across the EU. However, there are a number of provisions pursuant to which each member state, including Ireland, has discretion on the application of the provision under its local law.

Accordingly, the consultation invites submissions on the exercise of the following national discretions under AIFMD II:

  • extending the list of ancillary activities and services that may be provided by an external Alternative Investment Fund Manager ("AIFM") to include the tasks carried out by an administrator in accordance with Regulation (EU) 2016/1011 (the "Benchmark Regulation") and credit servicing activities in accordance with Directive (EU) 2021/2167 (the "Credit Servicing Directive");
  • prohibiting alternative investment funds ("AIFs") that originate loans from granting loans to consumers in Ireland;
  • permitting the Central Bank of Ireland to allow the appointment by an Irish AIF of a depositary established in another EU member state; and
  • extending the list of ancillary activities and services that may be provided by a UCITS management company to include the reception and transmission of orders in relation to financial instruments and administration of benchmarks in accordance with the Benchmark Regulation.

The consultation period will run until 17 January 2025 and submissions received will be considered by the Department of Finance when transposing AIFMD II into Irish law. Submissions can be made through the Department of Finance consultation portal.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More