The Alternative Investment Fund Managers Directive in Malta : Past, Present … What Next?

The paper examines the Alternative Investment Fund Managers Directive (AIFMD) from Malta's perspective. It analyses the most significant points made by Malta during the process that led to the adoption of the AIFMD Level I and II text. The paper also examines the transposition of the AIFMD in Maltese Law and the implementation of the AIFMD in practice from a supervisory perspective. The changes brought about by the AIFMD and the policy decisions made by Maltese authorities during the transposition process have strengthened the regulatory framework for investor protection and financial integrity in Malta. Nonetheless, a number of challenges, such as the absence of a depositary passport and the lack of convergence in the application of regulation, have resulted from the AIFMD. Malta has attempted to address these challenges through pragmatic solutions. However, more long-term solutions need to be identified and implemented at European level if the internal market objectives of the directive are to be achieved more effectively