UCITS Management Companies
UCITS management companies operate under the supervision of the Central Bank of Iceland (CBI) according to Act No. 116/2021 on Undertakings for Collective Investment in Transferable Securities (UCITS). The Act transposes Directive 2009/65/EC on UCITS, as amended, into Icelandic law. The Act applies to UCITS management companies and the operation and marketing of UCITS in Iceland.
Only UCITS management companies are permitted to manage UCITS.
Applications for authorisation as a management company governed by Chapters II and III of the Act.
Alternative Investment Fund Managers
Alternative investment fund managers (AIFM) operate under the supervision of the CBI pursuant to Act No. 45/2020 on alternative investments funds managers (AIFMD). The Act transposes Directive 2011/61/EU on AIFMD, as amended, into Icelandic law. The Act applies to managers that manage or market one or more alternative investment funds in Iceland or in other states within the European Economic Area.
Every alternative investment fund shall be managed by an AIFM, whether the manager is authorised or registered.
Applications for authorisation and registration of AIFM are governed by Chapters II and III of the Act.
Only UCITS management companies and AIFM authorised by the CBI may manage UCITS or alternative investment funds for retail investors (formerly investment funds). Furthermore, only such authorised entities may market UCITS and alternative investment funds to retail investors, provided that the funds in question have been approved by the CBI.