„shall at least perform functions related to risk or portfolio management“ 18 Assist in the preparation of the Company`s annual report and financial statements, interim financial statements and interim communications in accordance with all applicable laws and regulations, including assisting the Company, its appointed auditors and other of the Company`s service providers (if any) in processing requests; which are received in this context. a. persons entrusted with portfolio management tasks are not involved in the performance of potentially contradictory tasks such as control tasks; Where the transfer of portfolio management or risk management is proposed, the Regulation defines the types of EU-regulated entities that are considered to be duly authorised for those purposes10. It also notes that third-country entities authorised under the AIFMD or those authorised or registered for asset management purposes and effectively supervised by a competent authority in their home country would also be eligible under certain conditions11. In particular, there must be a written agreement between the competent authorities of the home Member State of the AIFM (competent authority) and the supervisory authorities of the supervisory authority allowing the competent authority to do so: as set out in the section on general principles, it is necessary that any retransmission be subject to the prior authorisation of the AIFM17. It should be noted that the Regulation clarifies that general consent is not acceptable and instead requires specific authorisation from the competent AIFM for a specific sub-transfer by its delegate18. The AIFM, in turn, is required to inform its competent authority and to provide it with the contact details of the delegate, the name of the competent authority in which the processor is authorised or registered, the delegated functions, the AIFs affected by the retransmission, a copy of the AIFM`s written consent and the expected date of the retransmission19. The provision of the delegation agreement providing for retransmission should therefore take this into account or provide that retransmission is permitted only in accordance with the applicable law. (c) the appointed portfolio manager confirms in writing to the Board of Directors that he or she has exercised due diligence with respect to the investments and activities of the Company and its subsidiaries; and (b) it is able to assume that the discretionary management of the Company`s portfolio 12 provides the Board of Directors with such reports and information about the Company, the management, valuation and risk profile of the Company`s investments (including, but not limited to, the disclosure of all cash balances held for the Company, details of all investment transactions; made by the designated portfolio manager during the relevant period, and B.
the basis for all assessments), as the Board may reasonably require from time to time (and in any event not less than once every three months). Cooperation with the administrator and the delegated portfolio The idea of concluding agreements which, in accordance with the last point above, will allow the European Supervisory Authorities to carry out inspections at their premises outside Europe may be of concern to some asset managers. However, the explanatory memorandum to the Regulation shall make it clear that the right to carry out on-site inspections should include the possibility to request the local control authority of the third country to carry out on-site inspections and, even if authorised by the supervisory authority of the third country, the ability of the competent authority to carry out the inspection itself or to accompany the staff of the local supervisory authority; to assist with an on-site inspection. 15.3 The AIFM shall comply with all applicable requirements of the AIFM Rules and other applicable laws and regulations relating to the prevention, identification, management, monitoring and disclosure of conflicts of interest. 12.1.6 not to invest, on behalf of the Company, in a fund or company for the management of which the portfolio manager or designated partner is entitled to remuneration (recognizing that such a transaction may, where applicable, constitute a related party transaction in accordance with the Listing Rules) or to allow such an investment on the terms; that the Commission may request at its discretion; 1 Provision of managers` management functions, including portfolio management and risk management services. Existing contractual arrangements related to delegation, i.e. investment management arrangements need to be reviewed and possibly revised to ensure that all these requirements are met if the structure of the fund concerned falls under the conditions of the AIFMD. In addition to the specific requirements, such as those mentioned above, which must be included in the transfer agreement itself, a number of permanent obligations are also imposed on the AIFM by the applicable general principles. It is likely that these will be addressed and documented separately in a manager`s procedure manual or business plan. .