FSA outlines plan for AIFMD rules

The UK’s Financial Services Authority is the first local European regulator to set out its approach to implementing the Alternative Investment Fund Managers Directive (AIFMD).

The Association of Real Estate Funds and INREV plan to co-ordinate a response to the 100-page paper on behalf of property fund managers and investors, by the 23 March 2012 deadline.

The AIFMD covers changes designed to mitigate risk, such as introducing depositories and disclosure on fund manager pay.

John Terry, a partner at PwC said: “The FSA will implement the main measures, which force firms to defer bonuses and restrict the cash element.”

AIFMD comes into effect in July 2013 but is likely to have an impact on remuneration paid from 1 January 2013, PwC said.