Key Features
The term “AIF” is broadly defined and essentially comprises all non-UCITS funds. AIFs are subject to the regulations implementing the EU’s Alternative Investment Fund Managers Directive (“AIFMD”).
An AIF may be established in Ireland as a single fund or as an umbrella fund comprising one or more sub-funds. The Central Bank of Ireland’s (“Central Bank”) AIF regime imposes varying investment and borrowing restrictions depending on whether the AIF is established for retail investors (a “RIAIF”) or qualifying investors (a “QIAIF”).
Legal Requirements
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Requirements |
Description |
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General |
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Investment company with fixed or variable capital, Common Contractual Fund (CCFs), Irish Collective Asset-Management Vehicle (ICAV), Unit trust, Limited partnership |
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No |
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Share capital or equivalent |
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· Minimum subscription |
QIAIFs (EUR 100,000) |
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· Minimum investors |
None |
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Directors |
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3 |
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No |
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Minimum of 2 local directors |
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Investment Restrictions |
§ Up to 20% of the net assets may be invested in unlisted securities § Up to 20% of the net assets may be invested in securities issued by the same issuer § Borrowings cannot exceed 25% of net assets § RIAIFs may enter into physical short sales and may establish side pocket share classes for illiquid assets. |
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Service Providers Required |
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Yes (local) |
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QIAIFs (Yes – authorised from anywhere) RIAIF (Yes – authorised from within EU) |
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Yes (local) |
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Yes |
Tax Treatment
Authorised Irish funds are tax exempt, except to the extent that they have Irish resident investors.
Transfers of units in Irish funds are exempt from Irish stamp duty.
Duration to Set Up
About 3 months
Distinctive Benefits of Licence
- Flexible structuring of fund vehicle
- Favourable tax regime
- Globally reputable regulatory environment
The Valsen Advantage
- End to end comprehensive service
- Speedy and efficient service
- Expert advice on structuring options
- Dedicated ongoing compliance support
- Extensive network pool of service providers