Professional Investor Funds
Professional Investor Funds (PIF) are Maltese regulated investment funds for professional and sophisticated investors, benefitting from a lighter regulatory regime. PIFs do not benefit from passporting rights within the EU or EEA similar to UCITS and AIFs, but they are still regulated EU structures and are suitable for all investment strategies, including both traditional and alternative, applicable for all asset classes.
The PIF regime is targeted at qualifying investors who must satisfy criteria, largely based on the participating investors' wealth and experience. PIFs enjoy a more flexible regulatory regime since PIFs are not intended for the general public. They also enjoy a fast-track licensing process and offer the possibility to be self-managed.
In order to be classfied as a qualifying investor one must:
- invest a minimum of €100,000, or its currency equivalent which may not be reduced below such treshold
- declare in writing to the manager and the fund that they are aware of and accept the risks associated with the proposed investment
- satisfy at least one of the following:
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- body corporate with net assets in excess of €750,000 or the currency equivalent
- an unincorporated body of persons with net assets in excess of €750,000, or the currency equivalent
- a trust where the net value of the Trust's assets is in excess of €750,000, or the currency equivalent
- an individual whose net worth or joint net worth with that of a person's spouse exceeds €750,000, or the currency equivalent
- a senior employee or a director of a service provider to the PIF.
Read more about the general features of the most common types of collective investment schemes availed of in terms of Maltese law:
