AIFM passporting in Malta

1. EEA AIFMs

The Investment Services Act (Alternative Investment Fund Manager (Passport) Regulations) applies to Maltese AIFMs providing services in a home State or EEA State as well as to EEA AIFMs providing services in Malta, whether through a branch or under the freedom to provide services.

An EEA AIFM which intends to manage Maltese AIFs directly without a branch must inform its home State regulatory authority of its intention and present a programme of operations stating the particular services which it intends to perform. The documentation received from the EEA AIFM, together with a statement to the effect that the EEA AIFM is authorised by the home State regulatory authority is then transmitted to the Malta Financial Services Authority (“MFSA”) following which the EEA AIFM may commence operations in Malta.

An EEA AIFM wishing to establish a branch must, in addition to the above mentioned documentation, provide information to its home State regulatory authority on the organisational structure of the branch, contact details of the person responsible for the management of the branch and the address in the home Member State or EEA State of the AIF from which documents may be obtained. Following receipt of confirmation of the transmission of the documentation to the MFSA, the EEA AIFM may commence the provision of its services in Malta.

An EEA AIFM wishing to market an EEA AIF may do so in accordance with the Investment Services Act (Marketing of Alternative Investment Funds) Regulations. The EEA AIFM must first present a notification to its home State regulatory authority containing the information set out in Annex IV of the AIFMD. Within twenty working days of receipt of the notification file, the MFSA must also receive a statement to the effect that the EEA AIFM is authorised to manage EEA AIFs. Upon transmission of the notification file to the MFSA, the EEA AIFM may begin marketing the EEA AIF in Malta. Certain additional requirements apply when marketing to retail investors or marketing a European feeder fund.

2. Third country AIFMs

A Non-EEA AIFM may market a Non-EEA AIF or an EEA AIF which it manages in Malta to professional investors. The marketing of such AIFs is subject to the rules set out in the Investment Services Act (Alternative Investment Fund Manager) (Third Country) Regulations and is subject to the local private placement regime. Marketing to retail clients is subject to additional requirements including a formal application for authorisation, as well as a related application fee.

3. Fees

The Investment Services Act (Fees) Regulations set fixed fees in relation to EEA AIFMs passporting through a branch. Such European AIFMs are subject to an application / notification fee of EUR 1,250 as well as an annual / supervisory fee of EUR 4,000. There are no fees applicable when passporting under the freedom to provide services.

Marketing of units or shares of an AIF by an EEA or Non-EEA AIFM is subject to an application / notification fee of EUR 2,500 per AIF and an annual / supervisory fee of EUR 3,000 per AIF. In cases where the AIF has sub-funds, an application / notification fee of EUR 450 and an annual / supervisory fee of EUR 500 per sub-fund is applicable.