Regulatory Alerts2022-01-01
Consultation Paper No. 8 of 2022 - Proposed Regulatory Framework for Private Credit Funds
The Financial Services Regulatory Authority of Abu Dhabi Global Market proposes a new Private Credit Fund Framework to enable authorized fund managers to originate and invest in credit facilities. The proposed rules require funds to be closed-ended, restrict investments to professional clients, and impose specific operating constraints including leverage caps, concentration limits, and rigorous stress testing. Additionally, the regulator seeks to exempt these funds and their managers from standard financial service permissions while introducing targeted amendments to existing regulatory rulebooks.
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