Home / CY AIF Law of 2018 / PART ΙΙ: PROVISIONS REGARDING THE ALTERNATIVE INVESTMENT FUNDS / Chapter 1: General characteristics and distinctions of AIFs / [11] Possibility of conversion of an AIF’s legal form.
Embedded Files
11. Possibility of conversion of an AIF’s legal form.
(1) An AIF established as a common fund and authorised in accordance to the provisions of article 13, may convert either to an investment company or a limited partnership, upon the approval, by a majority of 2/3 of the votes of the unitholders present or represented at a meeting, and under the condition that -
(a) the provisions of article 4(1)(b) or (c) are complied with, as the case may be∙ and
(b) its fund rules are amended so as to comply with the provisions of sections 59 or 69, respectively∙ and
(c) the consent of the person undertaking the duties of the external manager is submitted to the Securities and Exchange Commission.
(2) The decision regarding the conversion is communicated to the unitholders, in the manner specified in the fund rules, within 5 working days from the day the decision was taken, and at least 30 days before the conversion takes effect.
(3) In the event that the unitholders disagree with the decision regarding the conversion of the AIF in accordance with section (1), they have the right to request, within 15 days from the day the decision regarding the conversion was communicated to them, without additional charges, the redemption or repurchase of their units.
(4) The Securities and Exchange Commission may, by means of a directive, define the specific conditions and the process of conversion of the legal form of an AIF, in accordance with section (1), as well as any relevant matter or necessary detail regarding the conversion, and especially matters regarding the redemption rights of existing unitholders.
Page updated
Report abuse