Sifa proposes rule change for local ‘specialfonder’
The Swedish Investment Fund Association (Fondbolagens förening) has proposed a regulatory change that would do away with the current requirement that marketing of local so-called specialfonder to professional investors follow the same rules as those targeting retail investors.
Such a change would make it easier for the funds to compete with international peers, the Association states.
This would in turn make it more attractive to set up funds in Sweden. Over the long term a simplification of the applicable rules would contribute to increased business in the fund market, and greater tax revenues, Sifa argues.
The issue has been addressed previously, such as when the Swedish government was considering how to implement the AIFM Directive. However, this did not lead to changes in law. And an inquiry into funds in 2014 also put forward a similar proposal that did not lead to any change in law.
Sifa said those specialfonder that targeted professional investors should be given an exception from requirements intended to provide protection at the consumer level, such as the need to provide factsheets, certain annual reporting requirements, semi-annual reporting requirements, information about risk management, and ongoing information about fees and costs.
The full proposal can be found here: Undantag från konsumentskyddsreglerna för specialfonder som marknadsförs till professionella investerare