AIFMD Reporting services
AIFMD reporting context and key issues
Following the transposition of AIFMD in 22 July 2013 by European member states, AIFMs are required to report on the AIFs they manage and operate.
The reporting templates were defined by the European Securities and Markets Authority (ESMA) under articles 24(1),(2),(4), and 3(3)(d) of the Directive.
AIFMD reporting entered the regulatory landscape as a means to standardise the information disclosed to regulators and provide transparency to the alternative investment industry. Hence, the reports aim to capture the complexity of various portfolios driven by different investment strategies.
Attempting to provide a full picture of the risks taken by the investment vehicules, the reports require the compilation of risk figures, operational data, and legal obligations information.
As a freshly enforced Directive, some areas are expected to be clarified over the coming years and, therefore, currently require expert interpretation for transposition.
AIFMD reporting main challenges
The market has highlighted issues with:
- Risk implications – Dedicated Risk Managers available to calculate or review all risk related fields of the Reporting
- Operational risk – large number of enrichments and data manipulations are to be performed on the data which leads to processing errors
- Coordination with many stakeholders – as the reports require information from various sources, the number of stakeholders involved can be significant
- Data management – information is to be collected from multiple data sources and a strong emphasis on quality is required
- Dissimenation to regulators – unclear or complex technical requirements. Regarding non-EU AIFMs, coordination of the dissimenation to multiple regulators
- Monitoring – the complexity of the production process and the strict deadlines create a strong need for efficient monitoring
Deloitte has deeply monitored the evolution of the AIFM Directive since its initial publication in 2011. This allows us to provide solutions covering each aspect of AIFMD reporting.
Deloitte’s AIFMD reporting factory is designed for maximum automation of the reports creation to allow our experts to focus on the important aspects of the content.
We offer a flexible solution for AIFMD reporting based around the following services:
Our investment management services