Sun, May 1, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

One-third of fund managers may be unprepared for 22nd July AIFMD deadline

Wednesday, July 16, 2014
Opalesque Industry Update - An independent survey conducted by Confluence, the global leader in investment data management automation for the asset management industry, has found that with one week to go, respondents believe a third of the fund managers targeted by the Alternative Investment Fund Managers Directive (AIFMD) Transparency Reporting requirements are unprepared to meet the 22nd July deadline.

The survey, which included 116 responses from asset managers and fund administration service providers, was conducted between 16 June and 1 July as part of a research in the run up to the AIFMD July deadline when European Union (EU) AIFMs are required to submit their application for authorisation. When asked how prepared they believed AIFMs are to meet the Transparency Reporting requirements of AIFMD, 34% of the respondents felt that AIFMs were not very ready or were not sure of their level of preparedness for the Transparency Reporting requirements. Of those that responded, only 16% said they believed AIFMs were ‘very prepared’ ahead of the deadline.

In addition to their concerns about being prepared to meet the new reporting challenges, over a quarter (28%) of respondents said they believe AIFMs are still undecided and reviewing all options on how to meet AIFMD transparency. While some fund managers plan to use in-house reporting solutions, 22% of respondents plan to use an external solution to solve the regulatory reporting problem.

Commenting on the survey, Melvin Jayawardana, Confluence’s European Markets Manager said:

“The Confluence survey highlights the lack of readiness within the industry ahead of the AIFMD deadline despite being less than a fortnight away. European asset managers and fund administrators face big challenges getting up to speed on the full ramifications of the directive and the scope of work it will require of their back-office operations.”

The survey also tackled the question of challenges and threats brought about by the AIFMD requirements; almost a third of respondents said that the single greatest challenge was reporting to local regulators and identified the regulatory burden as the single most important concern. This was also a key concern highlighted in a Confluence survey conducted earlier this year, when more than two-thirds (67%) of alternative investment fund managers said they were concerned with reporting to local regulators[1].

Melvin added:

“Managing fund data manually and across multiple in-house systems will be challenging within AIFMD’s reporting window, which can be as short as 30 days. However, AIFMD is an opportunity for the investment services industry to address transparency and granularity in reporting to meet the constantly changing regulatory landscape and further enhance governance and protection to investors.”

Press release

About the survey
The survey was conducted on the back of ‘Countdown to AIFMD: Ready or Not?’ Confluence led webinar held on 1st July, directed by a panel of compliance and finance technology experts, including Virginie O’Shea, ‎Senior Analyst at the Aite Group, Michel Lempicki, Global Accounts Director at StatPro, Nicola Le Brocq, Alternative Investment Consultant at Enhance Group and Melvin Jayawardana, European Markets Manager at Confluence. The discussion was aimed at having a clear and up-to-date insight into the industry’s attitudes and feelings ahead of the compliance deadline later this month, as well as demonstrating the need for faster fund data management to comply with AIFMD’s short reporting window.

www.confluence.com

Bg

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
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. Hedge funds see $14.3bn outflows in Q1, CTAs and multi-strategy lead net inflows[more]

    Komfie Manalo, Opalesque Asia: The hedge fund industry saw net outflows of investor capital in the first quarter of the year, totaling $14.3bn, data from Preqin showed. This continues from the $8.9bn overall net outflows that funds recorded in Q4

  2. Third Point calls Q1 "catastrophic" for hedge funds[more]

    Bailey McCann, Opalesque New York: The first quarter of this year was rocky for hedge funds based on aggregate performance from the industry, but now we are beginning to hear what the managers thought of it as quarterly letters make their way to investors. Dan Loeb, CEO of New York-based $17 bill

  3. Asia - Stabilization of China's capital outflows may hinge on Janet Yellen, Fink says China to do well this year as bubble threat postponed, Chinese hedge fund to invest in India’s infrastructure[more]

    Stabilization of China's capital outflows may hinge on Janet Yellen From Bloomberg.com: Whether China’s recent stabilization of its currency and capital outflows continues -- or downside pressure reignites -- may hinge in large part on Janet Yellen. If the Federal Reserve chair sticks to

  4. …And Finally - After all, judges are human too[more]

    From Newsoftheweird.com: In March, one District of Columbia government administrative law judge was charged with misdemeanor assault on another. Judge Sharon Goodie said she wanted to give Judge Joan Davenport some files, but Davenport, in her office, would not answer the door. Goodie said once the

  5. Comment - Unmasking the men behind Zero Hedge, Wall Street's renegade blog[more]

    From Bloomberg.com: Colin Lokey, also known as "Tyler Durden," is breaking the first rule of Fight Club: You do not talk about Fight Club. He’s also breaking the second rule of Fight Club. (See the first rule.) After more than a year writing for the financial website Zero Hedge under the n