European regulators have taken different routes as to how they plan to enforce the European Securities and Markets Authority’s (“ESMA”) guidelines (the “Guidelines”) with respect to the use of sustainability‑related terms in fund names. The deadline to implement these changes for existing funds is by 21 May 2025 and has applied to
European Securities and Markets Authority
ESMA Consults on Open-Ended Loan Originating AIFs
On 12 December 2024, the European Securities and Markets Authority (“ESMA”) published a consultation paper (“Consultation”) on draft regulatory technical standards relating to open-ended loan originating AIFs under the revised Alternative Investment Fund Managers Directive (EU/2024/927) (“AIFMD 2”).
Purpose of the Consultation
AIFMD 2 stipulates that loan-originating AIFs should…
Countdown has begun for ESMA’s ESG Fund Name Guidelines
ESMA has translated their Guidelines on ESG-related fund names, which has started the clock for applicability. For information on the asset allocation thresholds and the exclusionary criteria, alongside the funds in scope and supervisory expectations, please see our Q&A here.
For new funds, the Guidelines will apply from 21 November 2024.
For existing funds…
ELTIF 2.0 – Final RTS Published
Background
On 19 July 2024, the European Commission published final regulatory technical standards (the “RTS”) in respect of Regulation EU/2023/606 relating to the European long-term investment fund (“ELTIF 2.0”). This follows various back and forth between the European Securities and Markets Authority (“ESMA”) and the European Commission (which we…
ESMA’s Long-Term Vision for the Functioning of the Sustainable Finance Framework
On 24 July 2024, the European Securities and Markets Authority (“ESMA”) published an opinion (the “Opinion”) outlining its long-term vision for the functioning of the European Union’s sustainable finance framework (the “Framework”). This Opinion aims to enhance the usability and coherence of the framework, thereby facilitating the investor journey…
ELTIF 2.0 – ESMA responds to the EU Commission’s proposed amendments to the draft RTS
On 22 April 2024, the European Securities and Markets Authority (“ESMA”) provided its response to the European Commission’s request on amendments to the draft regulatory technical standards (“RTS”) in respect of Regulation EU/2023/606 relating to the European long-term investment fund (“ELTIF 2.0”).
In the response, ESMA suggested that there…