An AIFM must, for each UK AIF and EEA AIF that it manages, and for each AIF it markets in the EEA, make available to AIF investors before they invest, in line with the instrument constituting the fund, the following information and any material changes to it:
a description of the investment strategy and objectives of the AIF;
if the AIF is a fund of funds, information on where the underlying funds are established;
a description of the types of assets in which the AIF may invest;
any applicable investment restrictions;
the types and sources of leverage permitted and the associated risks;
a description of the procedures by which the AIF may change its investment strategy or investment policy, or both;
a description of the main legal implications of the contractual relationship entered into for the purpose of investment, including information on jurisdiction, the applicable law and the existence or absence of any legal instruments providing for the recognition and enforcement of judgments in the territory where the AIF is established;
- (5) 1
a description of:
a description of the AIF's liquidity risk management, including the redemption rights of investors in normal and exceptional circumstances, and the existing redemption arrangements with investors;
a description of all fees, charges and expenses, and the maximum amounts directly or indirectly borne by investors;
a description of how the AIFM ensures a fair treatment of investors;
whenever an investor obtains preferential treatment or the right to obtain preferential treatment, a description of:
the latest annual report, in line with FUND 3.3 (Annual report of an AIF);
where available, the historical performance of the AIF;
the identity of the prime brokerage firm;
information about any transfer of liability to the prime brokerage firm that may exist; and
[Note: article 23(1) of AIFMD]
An AIFM must inform investors before they invest in the AIF of any arrangement made by the depositary to contractually discharge itself of liability, in accordance with regulation 30 of the AIFMD UK Regulation.
[Note: article 23(2) of AIFMD]
Where the AIF is required to publish a prospectus under section 85 of the Act or the equivalent provision implementing article 3 of the Prospectus Directive in the AIF's Home State, only information referred to in FUND 3.2.2 R and 3.2.3 R that is additional to that contained in the prospectus needs to be disclosed, either separately or as additional information in the prospectus.
[Note: article 23(3) of AIFMD]
the percentage of the AIF's assets that are subject to special arrangements arising from their illiquid nature;
any new arrangements for managing the liquidity of the AIF; and
[Note: article 23(4) of AIFMD]
any changes to:
the total amount of leverage employed by that AIF.
[Note: article 23(5) of AIFMD]
Articles 108 and 109 of the AIFMD level 2 regulation provide detailed rules supplementing this section.