Introduction to Alternative Investment Funds (‘AIFs’)

AIFs may be established as open-ended, closed-ended or limited liquidity structures and offered for sale to:

  • Retail investors (‘RIAIF’)
  • Qualifying investors (‘QIAIF’)

RIAIFs and QIAIFs may be established as:

  • unit trusts, under the Unit Trusts Act 1990;
  • designated investment companies (i.e. investment companies which may raise capital by promoting their shares to the public) under the Companies Act 1990, Part XIII;
  • investment limited partnerships under the Investment Limited Partnerships Act 1994;
  • common contractual funds under the Investment Funds Act 2005; and
  • ICAVs under the ICAV Act.

Under the investment fund legislation the Central Bank is responsible for the authorisation and supervision of unit trusts, common contractual funds, investment companies and investment limited partnerships and has the power to impose conditions on them.

The conditions which the Central Bank is imposing are contained in the AIF Rulebook which supersede all requirements set out in previous Non-UCITS Notices. Each chapter must be read in conjunction with all the other requirements set out in the AIF Rulebook. Each chapter must also be read in conjunction with the investment fund legislation, the IIA (in relation to chapter 5 - Fund Administrator Requirements), AIFMD Level 2 and the AIFM Regulations.