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Stand:updated on 31.01.2020 | Topic Investment funds Branch in Germany

EU management companies can manage investment funds under the freedom to provide cross-border services in Germany or establish a German branch and use it to provide the collective management activities. The requirements depend on whether the EU management company wishes to manage UCITS or special AIFs in Germany.

Management of UCITS

If the EU management company manages UCITS, it is sufficient if the authorisation that the EU management company has received in its home Member State covers the activities it intends to carry out in Germany and the competent authority in the home Member State notifies BaFin that the EU management company in question wishes to establish a branch in Germany or offer collective management activities under the freedom to provide cross-border services.

The same applies if the EU management company wishes to provide services or non-core services of financial portfolio management, investment advice, safe-keeping and administration of units of investment funds for others or market units or shares in third-party investment funds.

Management of special AIFs

If the EU management company manages special AIFs, the competent authority of the home Member State has to transmit the following information and documents to BaFin:

  • a statement to the effect that the EU AIF management company has authorisation pursuant to Directive 2011/61/EU (AIFM Directive) covering the intended activities,
  • notification of the intention to establish a branch or offer cross-border services,
  • a programme of operations
  • informationregarding the organisational structure of the branch
  • the address in Germany from which documents may be obtained and
  • the names and contact details of the persons responsible for the management of the branch.

Fees

An overview of the fees payable to BaFin for the management of investment funds on a cross-border basis can be found here.

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