Alternative Investment Funds

International Collective Investment Schemes

Alternative Investment Funds

The Alternative Investment Funds Law of 2014 (the “Law”) governs the registration and operation of AIFs.
The Cyprus Securities and Exchange Commission (CYSEC) regulates and oversees that AIFs operate within the framework of the Law.

An AIF may take the following legal forms:

1. Fixed Capital Investment Company
2. Variable Capital Investment Company
3. Limited Partnership
4. Common Fund

There are two types of AIFs:

1. AIFs with unlimited number of persons (AIFUNP) - The main characteristic of this type of AIF is that:
1. It is marketed to either professional and/or well-informed investors or retail investors;
2. The investor shares are freely transferable;
3. It may be listed;
4. The minimum capital requirement is EUR 125,000.00;
5. It is subject to investment restrictions.

2. AIFs with limited number of person (AIFLNP) - The main characteristic of this type of AIF is that:
1. The maximum number of investors can be 75;
2. It is marketed to professional and/or well-informed investors;
3. It is not externally managed;
4. The investor shares are freely transferable provided that, such transfer does not result for the AIF to have more than 75 members.
   
   

The benefits for registering an AIF in Cyprus are the following:

1. It provides flexibility to the investor to include any assets in the investment strategy of the AIF.
2. CYSEC requires that the annual audited and half year reports are sent to them and also to the investors
3. The AIF will benefit from the tax regime of Cyprus
4. The process of setting up and maintaining the AIF is simple and cost effective

For further information please contact us at info@spyrides.eu