MFSA launches new regulatory initiatives in the area of asset management

The Malta Financial Services Authority (MFSA) is pleased to announce the launch of two key initiatives following the publication of new regulations published under the Investment Services Act. These initiatives expand the options available for the establishment of non-retail Collective Investment Schemes (CISs) and form part of the Authority’s ongoing efforts to foster innovation and support evolving needs in the asset management industry.

Special Limited Partnership Funds

The CIS structured as limited partnership without separate legal personality, or Special Limited Partnership Fund (SLPF) – will: [i] offer an alternative to the limited partnership framework currently available under the Companies Act; [ii] be available for authorised non-retail funds; and [iii] take the form of a legal arrangement filed with and regulated by the MFSA under the Investment Services Act.

Extension of Notified Professional Investor Fund framework to self managed funds

The Notified Professional Investor Fund (NPIF) framework has also been extended to include self-managed NPIFs. Prior to the updates published today, the framework was solely available to externally managed funds. This initiative further enhances the framework’s accessibility and flexibility while maintaining the streamlined onboarding process and regulatory standards associated with NPIFs.

Commenting on these initiatives, Clare Farrugia, Head of Strategy, Policy and Innovation stated: “These developments are aimed at expanding the options available to fund promoters and enhancing Malta’s position as a leading jurisdiction for investment funds. The introduction of the SLPF and the extension of the NPIF framework to self-managed funds reflect our commitment to pragmatic and risk-based policymaking. These measures are expected to provide cost efficiencies and operational benefits, making Malta even more attractive for asset managers.”