AIFMD requires managers to appoint a depositary, a new role that changes the relationship and mix of responsibilities between fund, investment manager and service providers.
AIFMs need to have undertaken due diligence to identify an appropriate depositary, capable and willing to act on behalf of the manager and the types of funds and strategies it manages. This new appointment will require management and oversight to ensure that the contractual requirements under AIFMD are fulfilled and the relationship is one that can be implemented effectively. In addition, depending on the allocation of responsibilities, firms may need to update their due diligence assessment and undertake regular oversight of other service providers.
Cordium has extensive third party due diligence experience and can provide these services to AIFMs with respect to their appointment of sub-managers, administrators, prime brokers, depositaries or external valuation agents.