ESMA: Investment restrictions for GBP LDI funds

ESMA has issued advice to the Central Bank of Ireland and the Commission de Surveillance du Secteur Financier on investment restrictions for GBP LDI funds following notification that both intended to impose an investment restriction on AIFMs established in Ireland and Luxembourg and managing GBP-denominated AIFs pursuing a LDI funding strategy.  ESMA agrees with the measure, which applies from 29 April 2024.  GBP LDI funds established on or after this date must comply with the measure immediately while existing GBP LDI funds have a three-month transitional period to comply. The measure is not limited in duration.  ESMA also invites other competent authorities of AIFMs managing such funds to adopt similar measures.