Beyond causing headaches, Alternative Investment Fund Managers Directive (AIFMD) reporting imposes tough challenges to current and newly established AIFMs in EU. With over 300 fields of data to be validated and correctly input into the report, it quickly becomes a tedious and time-consuming procedure prone to human error.
The general purpose of the (2011/61/EU) Alternative Investment Fund Manager Directive (AIFMD) and the supplementary (EU) 231/2013 Regulation is to:
The ESMA guidelines on AIFMD reporting further covers the information that AIFMs must report to National Competent Authorities (NCAs), the timing of such reporting and the procedures to be followed when AIFMs move from one reporting obligation to another.
AIFMD reporting applies to Alternative Investment Fund Managers (AIFMs), hedge funds, private equity funds, investment companies, real estate funds, etc., with registered offices in the EU and to non-EU AIFMs that are managing/marketing their funds in the Union.
The report itself comprises of two separate reports with basic information on the AIFM and the AIFs it manages, principal exposures and risk concentrations of the AIFs, risk profiles of the AIFs, as well as the leverage of the AIFs.
The report is extensive with detailed questions that requires AIFMs to revisit historical data regarding their funds and decide on important topics, such as liquidity risk management, risk measure calculation, intended strategy, geographic focus, and so forth. A process that is likely to become tedious and laborious.
We at FA Solutions have observed the need for a smoother AIFMD reporting process removing the manual labor and minimizing the risk of human error. Consequently, we are launching a new and modern extension to complement FA Platform.
The AIFMD Reporting extension automatically produces AIFMD reports based on the information assessed in your daily operations within our FA Portfolio Management System. The functionality exports the report into the XML-format, ready to be packaged and sent to your respective NCA.
Should you have any questions regarding our AIFMD Reporting extension, please leave your email below and we will be in contact with you.