Are you looking to manage Alternative Investment Funds (AIFs) across the European Union? An AIFM License in Cyprus is your gateway to the EU financial market. At CX Financia, we provide end-to-end licensing solutions, ensuring your fund management company meets the rigorous standards of the Cyprus Securities and Exchange Commission (CySEC) while positioning you for cross-border success.
Why Choose Cyprus for Your AIFM License?
Cyprus has emerged as a premier European hub for fund managers, offering a robust regulatory framework (fully aligned with the AIFMD) and a competitive tax environment.
- EU Passporting Rights: Manage and market your AIFs to professional investors across all EU member states with a single license.
- Fiscal Efficiency: Benefit from one of the lowest corporate tax rates in the EU (15% from 2026) and a wide network of Double Tax Treaties.
- Cost-Effective Operations: Lower setup and maintenance costs compared to Luxembourg or Ireland without compromising on regulatory quality.
- Fast-Track Options: Access to the RAIF (Registered AIF) regime, allowing for rapid market entry when managed by an authorized AIFM.
Our AIFM Licensing & Compliance Services
We don’t just fill out forms; we build the operational foundation of your fund management business. Our turnkey services include:
1. CySEC Authorization & Application
We manage the entire application process, including the preparation of the Business Plan, Internal Operations Manual, and Anti-Money Laundering (AML) procedures. We act as your liaison with CySEC until the license is granted.
2. Substance & Governance Setup
CySEC requires “real substance” in Cyprus. We assist in structuring your Board of Directors, identifying qualified personnel, and ensuring your head office meets all regulatory requirements.
3. Ongoing Compliance & Risk Management
Post-licensing, we provide continuous support, including regulatory reporting (AIFMD reporting), risk management oversight, and internal audit services to ensure you remain in good standing.
4. Fund Structuring Advice
Whether you are launching a Private Equity, Real Estate, or Hedge Fund, we help you choose the right legal form (Investment Company or Limited Partnership) and the right AIF type (AIF, AIFLNP, or RAIF).
Key Requirements for an AIFM License in Cyprus
To obtain an AIFM license, certain thresholds and criteria must be met:
Start Your AIFM Journey with CX Financia
Navigating the complexities of the Alternative Investment Fund Managers Directive (AIFMD) requires a partner with deep local expertise and a global perspective. CX Financia bridges the gap between regulatory requirements and your business goals.
Frequently Asked Questions (FAQ)
What is the difference between a Full-Scope AIFM and a Mini-Manager?
A Full-Scope AIFM exceeds AIFMD thresholds (€100M leveraged/€500M unleveraged) and has full passporting. A Cyprus Mini-AIFM operates below these thresholds under a separate regime with €50,000 capital and lighter requirements but restricted marketing
Can a non-EU manager get a Cyprus AIFM license?
Yes. Non-EU managers can choose Cyprus as their “Member State of Reference” to access the European market and obtain a passport to distribute funds across the EU.
Does an AIFM need to appoint a Depositary?
Yes, under the AIFM Law, the appointment of an independent Depositary is mandatory for the safekeeping of assets and oversight of the fund,though exceptions exist for certain limited-partner AIFs with restricted assets/investors
What are the reporting obligations?
AIFMs must provide periodic reports to CySEC covering investment strategies, principal exposures, and results of stress tests (where applicable).