Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on facilitating cross-border distribution of collective investment funds and amending Regulations (EU) No 345/2013 and (EU) No 346/2013
1. Investment funds are investment products that pool investors’ capital, and invest that capital collectively through a portfolio of assets. In the EU, investment funds are categorised as either Undertakings for Collective Investment in Transferable Securities (UCITS) or Alternative Investment Funds (AIFs). European legislation allows asset managers to passport their investment funds across the EU, with the objective of creating a single market for investment funds. The proposed regulation and directive aim to deepen the single market for investment funds.
2. The proposals amend the following legislation:
• Directive 2009/65/EC on UCITS;
• Directive 2011/61/EU on Alternative Investment Fund Managers (AIFMs) managing AIFs;
• Regulation (No) 345/2013 on European Venture Capital Funds (EuVECA), a sub-category of AIFs; and
• Regulation (No) 346/2013 on European Social Entrepreneurship Funds, a sub-category of AIFs.