Funds Industry Report - Flipbook - Page 37
Colin McKeon Bridge Consulting
This comes into clearer focus following the
ture(s). Initially, thought should be given to
implementation of the Central Bank of
the experience that the team you are about
Ireland Consultation Paper 86 – commonly
to work with actually has. Primarily look to
referred to as CP86. The implications for
their experience of working with a wide
‘self-managed’ boards that are trying to
range of leading global investment manage-
implement all the conditions set out in CP86
ment and fund service providers. By doing so,
are many and complex. Some self -managed
they should be able to demonstrate clearly to
funds can and will continue to manage all the
you as the promoter and to your board an
day- to- day requirements that follow from
in-depth knowledge of your strategies and
CP86 through the appointment of Designat-
the various risks associated with managing
ed Directors and or Designated Persons. This
such portfolios. They should also have a clear
can prove successful but is not a model that
and detailed knowledge of how your appoint-
most new funds are currently choosing to
ed administrator and depositary operate,
follow. The current trend for new fund
including their various systems and process-
set-ups is for appointing management com-
es. In our experience, this is invaluable when
panies.
existing
it comes to the daily management of your
self-managed funds are also interested in
fund and monitoring the various outputs
working with and appointing a management
such as NAV’s and transfer agency activity.
company to their fund structure.
The ability to clearly understand and support
Increasing
numbers
of
your existing Distribution framework is a
Many fund structures (UCITS & AIF) are
valuable and important aspect of working
appointing regulated third party manage-
with the right party. In particular understand-
ment companies domiciled in Ireland. This
ing the various requirements in each market
allows for a fully regulated entity with the
and how this can affect your fund and how
appropriate regulated capital in place to sup-
you may overcome these barriers to ensure
port Irish domiciled funds. Brexit has also
your Distribution and sales efforts remain
focused the attention of many fund promot-
uninterrupted comes for choosing an experi-
ers as they look to establish their own man-
enced and well informed Management Com-
agement company in Ireland or utilise the
pany.
services of a recognised third party within the
Irish market. The evolution of management
Investment in the right systems is another
companies is well underway.
critical element that creates a sustainable
process in supporting a fund range. Impor-
Using An Independent
Management Company
tantly we are creating an efcient operating
model the value of which applies to the management company but also your fund(s) and
Careful consideration should be taken when
ultimately your investors. Our clients appreci-
choosing the right partner as your manage-
ate this approach and it allows them to focus
ment company to support your fund struc-
on other key areas of their business more
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