Open an Investment Fund in Italy

During the last few years, the Italian Government has implemented various reforms in order to attract foreign investors in as many industries as possible. One of these industries is the investment funds sector, including real estate and pension funds. The main laws governing investment funds in Italy are:

• -          the Unified Financial Act of 1988;
• -          the Securities and Exchange Commission Act (Commissione Nazionale per la Società e la Borsa), shortly known as CONSOB;
• -          the Bank of Italy Act, which was amended in 2015.

Our Italian company formation representatives can offer more information on the laws related to investment funds.

Types of investment funds in Italy

Foreign investors choosing to open an investment fund in Italy have plenty of choices. Among these, the Italian legislation recognizes the following types of investment funds:

• -          open-ended retail funds;
• -          closed-ended retail funds.

Open-ended funds are further divided into:

• -          undertakings for collective investment in transferable securities, shortly known as UCITS funds;
• -          alternative investment funds (AIFs).

Closed-ended funds are divided into:

• -          AIFs;
• -          real estate investment funds.

All types of Italian investment funds fall under the supervision of the Italian National Bank and the CONSOB.

How to set up an investment fund in Italy

The first thing when opening an investment fund in Italy is choosing a structure to operate under and appoint a manager who is authorized under the Alternative Investment Fund Manager Directive. The most employed structures used to open investment funds in Italy are investment firms with fixed or variable capital, our Italian company registration agents can offer details about. Investment firms can be registered as joint stock companies in Italy.

The companies managing the funds are required to fulfill certain capital conditions, among which:

• -          they must hold at least 0.02% of the assets when the capital is above 250 million euros;
• -          they must hold at least 25% of the operating expenses.

The minimum capital required to launch an investment fund in Italy is 1 million euros. Authorization for setting up the investment fund must be obtained with the Italian National Bank.

For assistance in setting up an investment fund in Italy, do not hesitate to contact our local company registration consultants.