It is expected that the F.C.A. http://www.fca.org.uk/ is proposing to bring both the activities of managers and their depositaries of ELTIFS to within the remit of The Financial Ombudsman Service http://www.financial-ombudsman.org.uk/ and the Financial Services Compensation Scheme http://www.fscs.org.uk/ therefore treating them in the same bracket as FCA authorised AIFS and EEA Fund Managers that manage U.K. authorised AIFS.This will please Retail Investors.
This type of investment is really designed as a 'buy to hold ' but at this point in time (Feb2016) ELTIFS may repay the invested capital when the investment ,which is underlying the Fund, reaches maturity and they can also be listed to provide a secondary market for liquidity.
9th December 2015 the Irish Minister for Finance signed the regulations making effective their facilitation of establishing Eltifs in Ireland.The application forms for Eltifs are now available from the Central Bank of Ireland and is ready to accept the applications .
A.M.F. has authorised the first two ELTIF funds .The ELTIF funds authorised by A.M.F. in France are two specialised professional funds which are classified as French limited partnerships, or SLPs. The funds have made their aim to invest €1.2 billion of equity or quasi-equity into long-term infrastructure projects. They will not have the capacity to originate loans, and have been restricted to professional investors only, they will also offer set terms for redemptions over the 25-year life span of each fund.
These are the first two funds off the racing block and will be watched by many both for how they are structured and how they are implemented.
As it is expected that these types of funds will eventually total 400 billion euros a year and infrastructure investment throughout Europe will be large ,the toe in the water has been placed .
And the starting block has been placed for more to follow.
Although the main information with regards ELTIF funds issued or about to be issued will be restricted to those who register.
The open part of the site will include information on projects within the E.U. looking for finance that will come under the umbrella of ELTIFS ,information on the progress of projects included in the issued ELTIFs.
The eltifs timeline for the first issue is getting nearer.
It is expected that part of the eltif fund may contain a private equity.
Eltif retail investors will provide an important part of the fund but because of the size of the funds they will contain many types of investors
Plus other information relevant to the ELTIF programme of advancing projects to the advancement of education and social benefits created by the ELTIF.
As we wait for H.M.Treasury to give the guidance and necessary changes to allow Eltifs to work under U.K. legislation ready for Dec.9th 2015 we will ,when it is issued, inform you of the changes they issue.
Has your Investment Advisor informed you about ELTIFS yet?
Is your Investment Advisor aware of the market for Eltifs and that it is expected to be as big as 400 Billion Euros a year ?
Follow our websites to keep you informed about the market in Eltifs.
As we wait for information from the various European Treasuries with regards to the use of Eltifs in the E.U. and the passports they require the date gets closer December 9th 2015.
I am sure there will be a few A.I.F.Managers looking to enter the market.
All the above is for information only and does not constitute advice in any form.