Apply for a Licence

Alternative Investment Fund Manager Depositary ("AIFMD")

FAQs

The purpose of this page is to make sure that the application process is fully understood.

This section sets out:

  • What is an Alternative Investment Fund Manager Depositary ("AIFMD") and what would this Licence allow you to do?
  • Capital Requirements
  • What do you need to submit?

What is an Alternative Investment Fund Manager Depositary ("AIFMD") and what would this Licence allow you to do?

An AIFMD provides depositary services to Alternative Investment Funds (“AIF”), and are charged with protecting the investors in each Alternative Investment Fund. The depositary has three major roles:

  • to safe keep assets of the AIF
  • monitor cash
  • and
  • oversee Net Asset Value (“NAV”) calculation and fund administration.

In order to act as a depositary under the Alternative Investment Fund Managers Directive (“AIFMD”), the depositary must be one of the following:

  • an EU credit institution (e.g. an EU bank).
  • an investment firm authorised under the Markets in Financial Instruments Directive (MiFID).
  • a prudentially regulated and supervised institution that is eligible to be a UCITS depositary under Article 23(3) of the UCITS Directive.

Capital Requirements

An AIFMD's minimum initial and ongoing capital requirements are €730,000. However in the case of a credit institution or investment firm the higher of the capital requirements for those specific licences will apply.

Furthermore firms may be required to hold the aggregate of the capital required for each licence prior to being permitted to conduct the proposed activity, and maintain this amount on an ongoing basis. The level of capital in these cases will be considered by the FSC. It is advised that you discuss this with the FSC ahead of your application.

What do you need to submit?

An application pack is required to be submitted together with all the relevant documents.

An application will not be considered complete if there are any outstanding documents.

The application pack must consist of:

Any other document the applicant considers the FSC should take into consideration as part of the application.

Business Plan

The business plan should include sufficient details relating to:

  • The types of funds that will be serviced including details of any specific assets or restrictions that will be applied when selecting the type of AIF to service
  • Details of the Mind and Management in Gibraltar
  • Risk Management function
  • Details of the Corporate Governance arrangements
  • Details of outsourcing arrangements and how the firm will ensure oversight over this
  • How the firm complies with the Anti-Money Laundering requirements
  • How the firm will be structured and staffed
  • How the applicant will comply with the depositary requirements introduced via AIFMD
  • How AIF cash flows will be monitored
  • How will it ensure assets are entrusted for safe-keeping in accordance with the AIFM Regulations
  • How oversight of any delegated custody arrangements will be carried out
  • The oversight of AIFM activities
  • How monitoring will be carried out of the AIF valuation policy, NAV pricing and verification of transfer agency activities
  • Reporting obligations in accordance with the AIFM Regulations, both to the AIFM and the FSC
  • Details of how any conflicts of interest between the applicant, AIFM, AIF and investors will be monitored
  • Operating model, how the firm will be structured and run.

Firms should consider the AIFMD requirements in their entirety prior to submitting an application. The FSC Information Pages may also be of assistance as they set out the requirements specific to the relevant area, particularly the one on depositaries.

Application Forms

Should you get an error when opening any of the forms, please check the FAQ tab for guidance on how to override this.

  Application Form
  Individual Questionnaire
  Body Corporate Questionnaire

Service Level Standards

The current service level standards are:

  • To provide initial feedback to an application within 5 weeks of a complete application being received.
  • Once all of the information has been received from an applicant and the application is therefore considered to be complete, we aim to provide an in principle decision within 4 weeks.

Please be advised that the above service level standards refer to the period of time in which the GFSC holds applications for consideration. Where we require further information or documents from an applicant the service level standards will be suspended until we receive the requested information. The period of time an application is pending because of factors outside the control of the GFSC will not be accounted for under the service level standards.

Please note that should we be unlikely to meet our SLS’s, we will advise you as soon as possible.

The purpose of this page is to set out:

  • What is an extension?
  • What do you need to submit?
  • Guidance

What is an extension?

Firms or individuals that are already licensed by the FSC may apply to extend their authorisation/licence to provide additional financial or professional services.

If you are seeking a licence, authorisation or registration under a separate Act, please contact the Authorisation team so that we can determine what documents you are required to submit.

What do you need to submit?

An application pack is required to be submitted with all the relevant documents.

An application will not be considered complete if there are any outstanding documents.

The application pack must consist of:

  • Application Fee (if applicable)
  • Revised Business Plan
  • Financial projections for the the next 3 years, clearly identifying the impact of the additional business
    • Profit and loss account
    • Balance sheet
    • Returns (these need to be on a quarterly basis for the first year and then annually for the following 2 years)
  • Individual Questionnaire (for any new individual holding a notifiable position)
  • Body Corporate Questionnaire (for any new entity within the structure)
  • Trust Questionnaire (if applicable)

Any other document the applicant considers the FSC should take into consideration as part of the application.