BNY Mellon launches AIFMD reporting toolkit

10 Dec, 2013

BNY Mellon has launched a toolkit to help managers identify, aggregate and manage their regulatory reporting requirements as mandated under the EU’s Alternative Investment Fund Managers Directive (AIFMD).

AIFMD requires AIFMs to file a report with their national regulator containing information on investment strategies, portfolio concentrations and the firm’s risk profile.

BNY Mellon has said it will work with its fund administration clients to aggregate and collect the data from managers themselves, other administrators, custodians, prime brokers and risk vendors. The bank will then populate the AIFMD regulatory report for the AIFM to review and then file with the relevant regulatory authority.

In March 2013, BNY Mellon launched a similar product although aimed at managers filing their Form PFs with the Securities and Exchange Commission (SEC) as required under Dodd-Frank.

Some service providers have warned managers against replicating their Form PF into AIFMD filings, pointing out there are a number of differences between the two. One lawyer said roughly 60% of the data contained in Form PF could be replicated in an AIFMD report.

AIFMD reporting is proving a challenge for managers. A study by KNEIP in June 2013 revealed 85% of alternative investment managers were unprepared for AIFMD reporting requirements. That same study revealed regulatory reporting was the primary AIFMD concern among 40% of managers.

The problem is compounded as managers will have to supply reports to multiple jurisdictions if they market into a number of EU countries. While AIFMD reports are broadly similar across jurisdictions, differences do exist.