Under the applicable Cypriot legislation, namely the Alternative Investment Funds Law of 2014 131/2014 (AIF Law), as amended, CySEC is the regulatory and supervisory authority for AIFs and may, upon a written application, authorize a Company, a Common Fund or a Partnership as an AIF or AIF Limited Number of Persons (AIF LNP).
Applicable legislation includes, inter alia, the following:
|Legal Forms||■ Variable Capital Investment Company (VCIC)|
■ Fixed Capital Investment Company (FCIC)
■ Limited Partnership
|Eligible Investors||Professional  and/or Well-Informed Investors |
|Number of Investors||Up to 75 |
|Minimum Capital |
|Not subject to Minimum Capital Requirements|
|Investment Manager||Can be self-managed by their Board of Directors |
(in case of a Company) or appoint an External Manager 
|Assets under |
|■ Up to EUR 100 million using leverage or |
■ 500 million with no use of leverage and no
redemption rights for 5 years
|Depositary||May be waived |
|Creation of Multiple |
|Different classes of |
shares to be issued
From our understanding of the services you seek to provide, it is our opinion that these would fall within the scope of an authorised AIF LNP.
Under the AIF Law, CySEC may, upon a written application, authorise a Company, a Common Fund or a Partnership as an AIF or AIF LNP.
The various legal forms in which an AIF-LNP can manifest in are analytically described as follows:
A comprehensive application must be submitted to CySEC in order to obtain an AIF- LNP authorisation.
The Application Form accompanied with, inter alia, the following6:
For an AIF LNP with no investment compartment 1.300 EUR and in case of an AIF
LNP with several investment compartments 1.300 EUR plus 300 EUR for each 15
investment compartments to be followed apart from the 1st one and 250 EUR from
the 16th investment compartment and afterwards.
CySEC will require a period of four (4) – six (6) months to review the Application in question.
 The AIF Law defines a professional investor as an investor who is considered to be a Professional Client or may, upon the investor’s request, be treated as a professional investor within the meaning of Annex II of the Investment Services and Activities and Regulated Markets Law, as amended.
 The AIF Law defines a well-informed investor as being a non-professional investor who fulfils the following conditions:
 In case of multiple investment compartments, the limit of 75 applies to the total number of investors and not to each investment compartment separately.
 In case of Limited Partnership, a manager should always be appointed which takes the role of the General Partner.
 Depositary is not required for AIF LNP if;
 Enclosures to the application may vary, depending on the Organisational and shareholding structure of the AIF, the type of the AIF (self-managed or externally managed, appointing or not a Depositary etc.)
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