Opening investment funds in Italy is subject to several laws and regulations and must be approved by the National Bank and the Italian Financial Supervisory Authority which is the Securities and Exchange Commission (CONSOB). A large portion of the investment funds set up in Italy are hedge funds. These types of funds are also known as reserved alternative investment funds which can be established by professional investors and retail investors. The main advantage of Italian hedge funds is that they can employ various investment strategies.
Our Italian company formation representatives can offer more information on the legislation related to the establishment of hedge funds.
Considering hedge funds are mainly dedicated to professional investors, the minimum amount accepted for the establishment of such funds is 500,000 euros. When it comes to retail investors seeking to set up this kind of funds, other special regulations apply. Also, the maximum number of shareholders in an Italian hedge fund is limited at 200. As for the type of structure to be accepted by the regulatory authorities, the limited partnership is the most employed. The hedge fund is also subject to various disclosure requirements. It should also be noted that opening a hedge fund in Italy takes about 6 months.
Our company registration agents in Italy can assist foreign investors with the establishment of the structure for operating hedge funds in this country.
Italian hedge funds can be marketed under the AIF and AIFM (Alternative Investment Funds and Alternative Investment Funds Manager) directives. Both local and foreign hedge funds can be marketed to professional investors in Italy. The Italian legislation acknowledges professional investors by law and on request. Retail investors are also allowed to invest in Italian hedge funds provided that they are employees or directors of the fund.
For complete information on setting up hedge or other types of investment funds, you can contact our company incorporation consultants in Italy. You can also rely on our agents if you need information about the taxation of hedge funds in Italy.