AIFM drafts split on disclosure and capital rules

Author: | Published: 28 May 2010

The thresholds at which the two Alternative Investment Fund Managers (AIFM) directive drafts introduce disclosure for portfolio companies are different, as are the capital requirements they impose on private equity. But neither is ideal.

The Parliament text proposes low thresholds that will capture most companies controlled by Alternative Investment Funds, excluding only those with fewer than 50 employees.

The Council text (based on the original Commission proposal) sets three tests for disclosure, two of which companies must meet to be excluded from requirements.

Disclosure can be avoided if a company...