Ireland is ranked 1st EU Member State in doing business and compliance with EU laws and regulations. Due to its favorable tax regime, it is now one of the most desirable jurisdictions among entrepreneurs wishing to establish an investment fund in Europe.
We have prepared this material for those who have already decided to open an investment fund in Ireland or are just considering this option. Below we will consider the legal forms of funds, issues of fund authorization, marketing and a number of others.
Establish a retail investment fund in Ireland: which legal structure to choose
Typically, authorized investment funds in Ireland are to be set up as either UCITS or non-UCITS. The common feature of UCITS funds is that they must be open-ended. The latter, in turn, is divided into RIAIF (retail investor fund), QIAIF (qualified investor fund). You are free to choose the legal form for your fund depending on your investment objectives and policy. If you have any difficulties in determining the optimal legal structure of a fund in Ireland, please contact our professional team. We will explain the details for each option and help you make the best choice for your specific situation.
Key legal structures:
- Irish collective asset management structure.
These are limited liability entities where the actual value of the paid-up share capital is always NAV. Shares are not assigned par value.
- Mutual fund.
The mutual fund is based on a management trust agreement between the management company and the depositary. From the point of view of portfolio management strategy, active and passively managed funds can be distinguished. Actively managed funds are characterized by the management company's desire to generate income above the market, which is accompanied by an increased risk. The main focus is on the structuring of portfolios, hence the frequency of changes
portfolio structure is high. Passive approach to portfolio management
of a mutual investment fund in Ireland is the ratio of the portfolio structure to the structure of the underlying index or benchmark portfolio.
- Investment Company.
The actual value of their paid-up share capital is always equal to the value of the company's net assets. Most companies are set up as PLCs. To register an investment company in Ireland, contact our specialists.
To establish a CCF in Ireland, you need to know that these funds are operated through a management company only.
Limited liability partnerships are often chosen by entrepreneurs intending to set up a fund in Ireland. If you are seeking legal assistance with corporate partnership documentation in Ireland, we can help.
A significant number of laws, both at the European and national level, govern retail funds. They may vary depending on the fund’s structure and status.
Opening an investment fund in Ireland requires compliance with many regulations. We are ready to save you time and share the expert knowledge of our international lawyers in order to register an investment company in Ireland as quickly as possible.
Retail funds authorization
To obtain permission to provide investment services in Ireland, you need to contact the Central Bank. The foundation will be able to operate only after obtaining such permission.
Marketing may be carried out by a fund or management company, or delegated to an investment manager or any other person authorized to perform such a function. There are no minimum investor qualification requirements set by the rules for retail funds.
If you’re looking for assistance in setting up an investment fund in Ireland, look no further! Investment fund registration in Ireland is one of the key vectors of our company’s activities. Reach out to us to sign up for legal advice on starting an investment business in Ireland.