Hosted AIFM & ManCo Services

The Alternative Investment Fund Managers Directive (AIFMD) is an EU regulation governing Alternative Investment Fund Managers (AIFMs) and the management and marketing of Alternative Investment Funds (AIFs). It aims to enhance investor protection, promote transparency, and ensure financial market stability. AIFM hosting, involved in managing and marketing AIFs like hedge funds and private equity funds, are subject to specific reporting, disclosure, and risk management requirements. The directive impacts entities in the alternative investment sector, contributing to a more regulated and transparent investment landscape.

AIFM & Manco services

A hosted Alternative Investment Fund Manager (AIFM) is designed to carry out portfolio and risk management while ensuring compliance with regulatory requirements outlined in the Alternative Investment Fund Managers Directive.

AIFM Manco services become essential in particular scenarios, such as when clients seek complete discretionary investment management for a new or existing fund or when they are involved in sub-advisory or managed account mandates.

These services provide a more robust regulatory framework compared to the Appointed Representative (AR) solution, which restricts such activities.

Compliance and Investment Management

Panima holds FCA authorisation as a small authorised UK AIFM with MiFiD permissions, allowing us to operate within the hosted AIFM/MiFiD framework.

In this arrangement, Panima oversees Investment Funds and serves as the investment manager on behalf of our clients.

Portfolio management responsibilities are delegated, with Panima providing comprehensive compliance and risk management oversight through a secondment agreement.

This tri-party agreement clarifies roles, responsibilities, and expectations among the client, secondees, and Panima as the AIFM. While AR allows clients to retain their brand and handle specific regulatory activities, some scenarios require direct Investment Management permissions.

In these cases, client-provided secondees operate under Panima’s compliance and risk management oversight, ensuring their fitness and propriety through initial due diligence.

Once a track record is established, clients may choose to become an Appointed Representative. All these arrangements adhere to regulatory frameworks and guidelines established by the Financial Conduct Authority (FCA) or other relevant regulatory bodies.

Compliance with these regulations is imperative to ensure that AIFM hosting services align with legal and regulatory obligations.

Client benefits

SWIFT AUTHORISATION

Obtain trading authorisation within weeks, enabling prompt execution of investment strategies and quick capitalisation on market opportunities without unnecessary delays.

ONGOING COMPLIANCE & RISK MONITORING

Benefit from continuous compliance and risk monitoring, ensuring your operations consistently align with regulatory requirements and that risks are systematically assessed and mitigated.

EXPERT OPERATIONAL SUPPORT

Panima provides experienced operational staff to assist in setting up investment vehicles. This support streamlines the complex process, tailoring structures to your strategies and client needs, saving you time and effort.

COST-EFFECTIVE ACCESS TO TIER-1 SERVICE PROVIDERS

Leverage Panima’s existing relationships with top-tier service providers. This cost-effective route allows access to various services at competitive rates, optimising operational expenses and potentially increasing profitability.