1st June 2013
Langham Hall is launching an Alternative Investment Fund (AIF) depositary service to support private equity and real estate clients whose funds are captured by the AIFMD?s requirement to appoint an independent depositary.
The FSA has acknowledged the need to introduce competition to the banks in order to drive depositary costs to levels more in line with the risks associated with acting for these types of funds. There are literally hundreds of UK limited partnerships which have never needed a depositary before and traditional bank custodians are not familiar with these asset classes or the markets. There are also significant internal and fund cost implications for managers that are caught by the Directive. In response, the FSA has introduced the concept of the ?PE AIF Depositary? with a lower level of regulatory capital of ?125,000. This enables firms such as Langham Hall to act to provide a more cost effective and tailored service. If you would like to speak to someone in connection with AIF Depository Services at Langham Hall, please contact Rob Short on +44 20 7597 7900.