BaFin Publishes KAMaRisk
BaFin published the “Minimum Requirements on Risk Management for Investment Management Companies (Mindestanforderungen an das Risikomanagement für Kapitalverwaltungsgesellschaften - „KAMaRisk“) on 10 January 2017 which were subject to a consultation process until 23 November 2016.
The KAMaRisk implements, inter alia, as a technical compliance standard, the statutory compliance requirements for loan originating funds as introduced by the UCITS-V-Transformation Act (OGAW-V-Umsetzungsgesetz) and stipulate (i) special compliance requirements on the origination of loans as well as (ii) minimum requirements on the risk management of German investment companies (“KVG”) managing AIFs which are granting loans for the account of their AIFs (Direct Lending) or which invest into (secondary) loans.
The KAMaRisk is available in German
BaFin Consults Draft Circular on Derivative Financial Instruments and Structured Products
BaFin published a draft circular on derivative financial instruments and structured products on 2 January 2017 which will replace the circular on derivative financial instruments (published in 2000) and the circular on structured products (published in 1999).
The draft circular contains guidance with respect to the use of derivative instruments and the investment in structured products and is directed at German pension funds and undertakings authorized for primary insurance business which are covered by the regulations of the German Insurance Supervision Act (Versicherungsaufsichtsgesetz - VAG) addressing small insurance undertakings (sections 212 – 217 of the VAG). The circular will specify the requirements of section 15 (1) sentence 2 VAG dealing with the classification of investments in financial instruments as non-insurance business (versicherungsfremde Geschäfte), the Investment Ordinance as of April 2016 (Anlageverordnung) and the Ordinance for the supervision of pension funds (Pensionsfondsaufsichtsverordnung).
The deadline for the consultation period of the circular will end on 31 January 2017.
The draft circular is available in German
BaFin Consults Draft Circular on Investments of Restricted Assets
BaFin published a draft circular on investments of restricted assets for further consultation on 21 December 2016. It is directed at German pension funds and undertakings authorized for primary insurance business which are covered by the regulations of the German Insurance Supervision Act (Versicherungsaufsichtsgesetz - VAG) addressing small insurance undertakings (sections 212 – 217 of the VAG).
The circular will replace Guidance 4/2011 (VA) on the Investment of Restricted Assets of Insurance Undertakings and the circulars on investments in asset-backed securities and credit-linked notes and on investments in hedge funds will be repealed.
The circular will specify the requirements set out in the Investment Ordinance as of April 2016 (Anlageverordnung - AnlV) and the Ordinance for the supervision of pension funds (Pensionsfondsaufsichtsverordnung) and will cover topics such as rules for capital investment management and the investment principles for insurance companies and it will further specify the types of investment set out in section 2 (1) AnlV.
The deadline for the consultation period of the circular will end on 31 January 2017.
The draft circular is available in German
Investment Statistics as of 30 November 2016
The German Investment Fund Association BVI in January 2017 has issued its latest investment statistics report dated November 2016, providing an overview of the net assets and net sales within the German investment fund and asset management markets. The statistics are broken down by asset class and provider. They provide information on net assets and net inflows of investment funds and assets outside investment funds.
The statistics are available
