# Managing alternative investment funds

Source page: https://protegra.io/licensing/activities/aif-management/

Managing collective investment schemes that are not UCITS, such as private equity, hedge or real estate funds, requires a fund manager licence under AIFMD Article 4(1)(w) and Annex I. Authorised alternative investment fund managers (AIFMs) benefit from EU passporting to market and manage funds across the EEA for professional investors.

## Definition

Performing portfolio management and risk management for funds that are not UCITS, such as hedge, private equity and real estate funds.

- AIFMD, Art. 4(1)(w) and Annex I: [official text](https://eur-lex.europa.eu/eli/dir/2011/61/oj)

## Which licence you need

Licence families that typically permit this activity:

- [Fund manager](https://protegra.io/licensing/licences/fund-manager/)

- [FM · Abu Dhabi Global Market (ADGM)Financial Services Permission for Managing a Collective Investment Fund (Category 3C)FSRA](https://protegra.io/licensing/licences/fund-manager/adgm/)
- [FM · BermudaFund Administrator Licence (Part III, Investment Funds Act 2006)BMA](https://protegra.io/licensing/licences/fund-manager/bermuda/)
- [FM · British Virgin IslandsBVI mutual fund recognition (private/professional fund), registration (public fund) or approval (incubator/approved fund) - funds are recognised/registered/approved, not 'licensed'BVI FSC](https://protegra.io/licensing/licences/fund-manager/bvi/)
- [FM · Cayman IslandsRegulated Mutual Fund (registered, master, or administered fund under the Mutual Funds Act)CIMA](https://protegra.io/licensing/licences/fund-manager/cayman-islands-mutual/)
- [FM · Cayman IslandsRegistered Private Fund under the Private Funds ActCIMA](https://protegra.io/licensing/licences/fund-manager/cayman-islands-private/)
- [FM · CyprusAlternative Investment Fund Manager (AIFM) authorisationCySEC](https://protegra.io/licensing/licences/fund-manager/cyprus-aifm/)
- [FM · CyprusSub-threshold Alternative Investment Fund Manager registrationCySEC](https://protegra.io/licensing/licences/fund-manager/cyprus-sub-aifm/)
- [FM · Czech RepublicSub-threshold Alternative Investment Fund Manager registration pursuant to Section 15 of AMCIF (zápis osoby provádějící správu majetku srovnatelnou s obhospodařováním podle § 15 ZISIF)CNB](https://protegra.io/licensing/licences/fund-manager/czech-republic-registered-15/)
- [FM · Czech RepublicInvestment Company / Fund Manager licence (povolení k činnosti investiční společnosti)CNB](https://protegra.io/licensing/licences/fund-manager/czech-republic/)
- [FM · Dubai International Financial Centre (DIFC)Financial Services Permission for Managing a Collective Investment Fund (Category 3C)DFSA](https://protegra.io/licensing/licences/fund-manager/difc/)
- [FM · EstoniaSmall fund manager registration without activity licenceFI](https://protegra.io/licensing/licences/fund-manager/estonia-small/)
- [FM · EstoniaOperating licence as a fund management companyFI](https://protegra.io/licensing/licences/fund-manager/estonia/)
- [FM · FranceSociété de gestion de portefeuille (SGP) / Portfolio management company authorisationAMF](https://protegra.io/licensing/licences/fund-manager/france-sgp/)
- [FM · GermanyInvestment management company licence (Erlaubnis als Kapitalverwaltungsgesellschaft nach § 20 KAGB)BaFin](https://protegra.io/licensing/licences/fund-manager/germany/)
- [FM · IrelandAlternative Investment Fund Manager (AIFM) Authorisation/RegistrationCBI](https://protegra.io/licensing/licences/fund-manager/ireland-aifm/)
- [FM · LuxembourgAlternative investment fund manager (AIFM) authorisationCSSF](https://protegra.io/licensing/licences/fund-manager/luxembourg-aifm/)
- [FM · NetherlandsAlternative Investment Fund Manager (AIFM) licence under Wft Article 2:65 and Directive 2011/61/EUAFM](https://protegra.io/licensing/licences/fund-manager/netherlands-aifm/)
- [FM · PolandInvestment Fund Company licence (towarzystwo funduszy inwestycyjnych - TFI)KNF](https://protegra.io/licensing/licences/fund-manager/poland-tfi/)
- [FM · PolandAlternative Investment Company Manager registration / licence (zarządzający alternatywną spółką inwestycyjną - ZASI)KNF](https://protegra.io/licensing/licences/fund-manager/poland-zasi/)
- [FM · SeychellesFund Administrator's Licence (and Restricted Fund Administrator's Licence) under the Mutual Fund and Hedge Fund Act 2008FSA](https://protegra.io/licensing/licences/fund-manager/seychelles/)
- [FM · SpainSociedad Gestora de Instituciones de Inversión Colectiva (SGIIC) licenceCNMV](https://protegra.io/licensing/licences/fund-manager/spain-sgiic/)
- [FM · SwitzerlandFund management company licence (Fondsleitung nach Art. 32 FINIG)FINMA](https://protegra.io/licensing/licences/fund-manager/switzerland-fund-management/)
- [FM · SwitzerlandManager of collective assets licence (Verwalter von Kollektivvermögen nach Art. 24 FINIG)FINMA](https://protegra.io/licensing/licences/fund-manager/switzerland-manager/)
- [FM · United KingdomAlternative Investment Fund Manager (AIFM) Authorisation / RegistrationFCA](https://protegra.io/licensing/licences/fund-manager/united-kingdom-aifm/)

## Where it can be licensed

| | EU/EEA passport | Domestic |
| --- | --- | --- |
| [Abu Dhabi Global Market (ADGM): Financial Services Permission for Managing a Collective Investment Fund (Category 3C)](https://protegra.io/licensing/licences/fund-manager/adgm/) | | ✓ |
| [Bermuda: Fund Administrator Licence (Part III, Investment Funds Act 2006)](https://protegra.io/licensing/licences/fund-manager/bermuda/) | | ✓ |
| [British Virgin Islands: BVI mutual fund recognition (private/professional fund), registration (public fund) or approval (incubator/approved fund) - funds are recognised/registered/approved, not 'licensed'](https://protegra.io/licensing/licences/fund-manager/bvi/) | | ✓ |
| [Cayman Islands: Regulated Mutual Fund (registered, master, or administered fund under the Mutual Funds Act)](https://protegra.io/licensing/licences/fund-manager/cayman-islands-mutual/) | | ✓ |
| [Cayman Islands: Registered Private Fund under the Private Funds Act](https://protegra.io/licensing/licences/fund-manager/cayman-islands-private/) | | ✓ |
| [Cyprus: Alternative Investment Fund Manager (AIFM) authorisation](https://protegra.io/licensing/licences/fund-manager/cyprus-aifm/) | ✓ | |
| [Cyprus: Sub-threshold Alternative Investment Fund Manager registration](https://protegra.io/licensing/licences/fund-manager/cyprus-sub-aifm/) | | ✓ |
| [Czech Republic: Sub-threshold Alternative Investment Fund Manager registration pursuant to Section 15 of AMCIF (zápis osoby provádějící správu majetku srovnatelnou s obhospodařováním podle § 15 ZISIF)](https://protegra.io/licensing/licences/fund-manager/czech-republic-registered-15/) | | ✓ |
| [Czech Republic: Investment Company / Fund Manager licence (povolení k činnosti investiční společnosti)](https://protegra.io/licensing/licences/fund-manager/czech-republic/) | ✓ | |
| [Dubai International Financial Centre (DIFC): Financial Services Permission for Managing a Collective Investment Fund (Category 3C)](https://protegra.io/licensing/licences/fund-manager/difc/) | | ✓ |
| [Estonia: Small fund manager registration without activity licence](https://protegra.io/licensing/licences/fund-manager/estonia-small/) | | ✓ |
| [Estonia: Operating licence as a fund management company](https://protegra.io/licensing/licences/fund-manager/estonia/) | ✓ | |
| [France: Société de gestion de portefeuille (SGP) / Portfolio management company authorisation](https://protegra.io/licensing/licences/fund-manager/france-sgp/) | ✓ | |
| [Germany: Investment management company licence (Erlaubnis als Kapitalverwaltungsgesellschaft nach § 20 KAGB)](https://protegra.io/licensing/licences/fund-manager/germany/) | ✓ | |
| [Ireland: Alternative Investment Fund Manager (AIFM) Authorisation/Registration](https://protegra.io/licensing/licences/fund-manager/ireland-aifm/) | | ✓ |
| [Luxembourg: Alternative investment fund manager (AIFM) authorisation](https://protegra.io/licensing/licences/fund-manager/luxembourg-aifm/) | ✓ | |
| [Netherlands: Alternative Investment Fund Manager (AIFM) licence under Wft Article 2:65 and Directive 2011/61/EU](https://protegra.io/licensing/licences/fund-manager/netherlands-aifm/) | ✓ | |
| [Poland: Investment Fund Company licence (towarzystwo funduszy inwestycyjnych - TFI)](https://protegra.io/licensing/licences/fund-manager/poland-tfi/) | ✓ | |
| [Poland: Alternative Investment Company Manager registration / licence (zarządzający alternatywną spółką inwestycyjną - ZASI)](https://protegra.io/licensing/licences/fund-manager/poland-zasi/) | | ✓ |
| [Seychelles: Fund Administrator's Licence (and Restricted Fund Administrator's Licence) under the Mutual Fund and Hedge Fund Act 2008](https://protegra.io/licensing/licences/fund-manager/seychelles/) | | ✓ |
| [Spain: Sociedad Gestora de Instituciones de Inversión Colectiva (SGIIC) licence](https://protegra.io/licensing/licences/fund-manager/spain-sgiic/) | ✓ | |
| [Switzerland: Fund management company licence (Fondsleitung nach Art. 32 FINIG)](https://protegra.io/licensing/licences/fund-manager/switzerland-fund-management/) | | ✓ |
| [Switzerland: Manager of collective assets licence (Verwalter von Kollektivvermögen nach Art. 24 FINIG)](https://protegra.io/licensing/licences/fund-manager/switzerland-manager/) | | ✓ |
| [United Kingdom: Alternative Investment Fund Manager (AIFM) Authorisation / Registration](https://protegra.io/licensing/licences/fund-manager/united-kingdom-aifm/) | | ✓ |

## Frequently asked questions

### What is the sub-threshold exemption for small fund managers under AIFMD?

Managers with aggregate portfolio assets under management below statutory thresholds qualify for lighter national registration rather than full authorisation. While registered sub-threshold managers avoid extensive prudential reporting requirements, their funds cannot benefit from cross-border EU marketing passports.

### Must an alternative investment fund appoint an independent depositary?

Yes, fully authorised AIFMs must ensure each managed fund appoints an independent depositary to oversee cash flows, verify asset ownership and safe-keep fund assets, providing statutory investor protection against misappropriation or operational default.

## Sources

1. [AIFMD Art. 4(1)(w) and Annex I](https://eur-lex.europa.eu/eli/dir/2011/61/oj): retrieved 2026-09-24

Last verified 2026-09-24 · Author: Danil Marmysh · Reviewed by Anastasia Sidorenkova · © Protegra. Data: CC BY 4.0, cite "Protegra Licensing Atlas". Not legal advice.