ELTIF definition
Examples of ELTIF in a sentence
However, there is no clear time indication on when these measures and adoption of the ELTIF Regulation in such countries will enter into force, additionally an assessment as to the compliance of article 11(1)(c)(ii) of the ELTIF Regulation for the Sub-Fund’s investment portfolio and the marketing jurisdiction of its investors will need to be made at the time of such adoption.
If, at any time during the life of the Sub-Fund, the status of an investor means that the country of any investment of the Sub-Fund no longer satisfies the requirements of 11(1)(c) of the ELTIF Regulation due to legal, regulatory or tax changes resulting in such Qualifying Portfolio Undertaking no longer domiciled in an Eligible Jurisdiction, the AIFM may have to consider remedial action in respect of such investor’s status as a Shareholder.
The Sub-Fund’s investments will qualify as eligible investments for an ELTIF, in particular with regard to eligible assets and spreading of investment risks in accordance with Chapter II of the ELTIF Regulation.
Upon request, a Limited Partner shall be sent those documents or be apprised of the place where, in each Member State in which the shares of the Master Fund that qualifies as an ELTIF are marketed, the shareholders of the Master Fund may consult them.
Compliance with article 11(1)(c) of the ELTIF Regulation will continue to be monitored during the life of the investments.
There can be no assurance that countries maintain compliance of the Sub-Fund’s portfolio of investments with rules for investments in Eligible Jurisdictions as per article 11(1)(c)(ii) of the ELTIF Regulation and at any point a potential or existing investor may become a Prohibited Person in the event of a legislative change.
The investment opportunities for the Sub-Fund(s) will be subject to the platform’s allocation policy as well as needing to meet the ELTIF Regulation’s requirements for eligible assets; therefore there can be no guarantee as to the number of investment opportunities that are eligible for investment by the Sub-Fund(s).
As an ELTIF, the Sub-Fund will invest in long-term assets, meaning assets that are typically of an illiquid nature, require patient capital based on commitments made for a considerable period of time, often provide a late return on investment and generally have an economic profile of a long-term nature.
This means that prospective and admitted investors from such countries may in the future no longer be deemed Eligible Investors of the Sub-Fund if the application of article 11(1)(c)(ii) of the ELTIF Regulation can no longer be complied with due to their admission in the Sub-Fund.
The investment limit in (a) above shall apply from the date that is the earlier of (i) the end of the Ramp-up Period, (ii) five years after the date of the Sub-Fund’s authorisation as an ELTIF and (iii) half the term of the Sub-Fund until the commencement of the winding-up of the Sub-Fund.