Sat, May 23, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

German Finance Ministry is tougher on alternative funds than the EU

Tuesday, January 08, 2013

amb
Robert Welzel
Benedicte Gravrand, Opalesque Geneva:

Germanys Ministry of Finance (BMF) presented a draft revision of German fund tax law on 4th December 2012, which is connected to the draft bill for the implementation of the EUs AIFMD (Alternative Investment Fund Manager Directive) it issued in July.

Robert Welzel and Steffen Gnutzmann, both partners with WTS, a tax and legal consulting firm based in Frankfurt, talked to Opalesque about a possible snag they found in the fund tax law proposal.

They claim that based on the two draft bills, the competitive landscape for alternative funds may be significantly transformed. The German AIFMD implementation not only brings about a manager regulation, they say, it also contains significant product regulation, first via regulatory law and second via tax law.

"Basically the regulation is that we have good funds and bad funds, especially from a tax law perspective," Steffen Gnutzmann told Opalesque. "The good funds will generate a better after-tax return for the investors than the bad funds."

German investors usually invest in tax-optimised products, Robert Welzel explained, and funds that authorities do not welcome will be put in a tax regime that investors may want to avoid. So the German implementation of the AIFMD and the related tax law may end up being unfair tax-wise on certain funds.

The future fund tax law would provide for three p......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Comment - Top hedge fund managers talk about how easy their jobs have gotten, BlackRock to Schroders warn of Argentina’s $20bn bond glut, The 35-year “investment supercycle” is drawing to a close, says Bill Gross, Gundlach: When the Fed starts hiking rates, 'GET OUT' of this asset class[more]

    Top hedge fund managers talk about how easy their jobs have gotten From Businessinsider.com.au: Time was, before the financial crisis hit, corporate boards treated multi-billion dollar hedge fund managers like Jehovah’s Witnesses pounding on their doors and flashing bibles. But no more.

  2. T Rowe's challenge to Dell deal may fuel critics of 'appraisal'[more]

    From Reuters.com: An increasingly popular tactic used by hedge funds and others to extract more money from buyouts could soon face a major courtroom test when a big investor in Dell Inc may argue that it should be paid a higher price for the 2013 acquisition of the PC maker. The strategy, known as "

  3. News Briefs - Ergen says LightSquared plan unfairly favors hedge funds, Why hedge fund managers make good advisory clients, I learned a lot about dad-bros after spending 4 days in Vegas with 2,000 hedge funders[more]

    Ergen says LightSquared plan unfairly favors hedge funds LightSquared Inc.’s bankruptcy plan gives hedge funds that invested in the broadband company a leg up while blocking telecommunications firms from competing with it, a fund owned by Dish Network Corp. Chairman Charles Ergen said in

  4. Opalesque Exclusive: SEC approves proposed changes to Form ADV, '40 Act - comment period to follow[more]

    Bailey McCann, Opalesque New York: Hedge funds and providers of liquid alternatives will want to pay close attention to proposed reforms approved by the SEC yesterday. The changes will require more frequent reporting, as well as a closer look into social media, liquid alternative strategies, and

  5. New market regime has created more dispersion between managers[more]

    Komfie Manalo, Opalesque Asia: The month of April has marked the transition toward a new market regime, Philippe Ferreira, Lyxor AM’s head of research, managed account platform, commented in the May 5's Weekly Briefing. "The first quart

 

banner