Starting with 2010, Italy has begun to amend its legislation for the establishment of investment funds. Among the most welcomed changes was the introduction of the Alternative Investment Funds Managers Directive, which allowed for the creation of closed-ended and open-ended retail investment funds in Italy. The main laws governing these types of investment funds in Italy are:
The last two laws also provide for the authorities supervising investment funds in Italy: the Italian National Bank and the CONSOB. Our company registration consultants in Italy can offer more information on the laws related to closed-ended retail funds.
The establishment of closed-ended retail funds in Italy is quite simple and is subject to the approval of the National Bank. Italian closed-ended retail funds may take contractual forms, like any other investment funds with units, or investment companies with fixed capital (SICAF) which are usually registered as joint stock companies with the Italian Companies Register. The SICAF will have shares as main assets.
The Italian closed-ended fund must have the appropriate share capital and must have the documents providing for the objectives of the fund different from those of other funds in order to be approved by the National Bank. Also, this type of fund may only be managed by a manager authorized under the AIFM Directive.
The differences between open-ended and closed-ended retail funds in Italy will usually reside in the restrictions imposed to the two types of funds. Closed-ended funds will be imposed the following restrictions:
For assistance in opening a closed-ended retail fund, do not hesitate to contact our Italian company formation agents.