Regulatory Alerts2021-10-21
Guernsey FSC Guidance Notes on Article 36 of AIFMD Depositary Requirements
The Guernsey Financial Services Commission issued guidance clarifying how Article 36 of the AIFMD interacts with local regulatory requirements for depositary services provided by Guernsey entities to non-EEA Alternative Investment Funds. The document mandates that Guernsey Depositaries perform specific duties including cash flow monitoring, safekeeping of assets, and oversight of the AIFM's operations while adhering to risk-based assessments and strict reconciliation procedures. It further details the distinct obligations for open-ended and closed-ended schemes, ensuring that custody functions comply with both the Protection of Investors Law and European regulatory standards.
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