AFM and AIFM

Question 1

What is the role of the AFM/AIFM?

Answer 1

• Responsible for the operation of the scheme
• Authorised corporate director (ACD) (ACD will appoint registrar, administrator and investment manager) in OEIC or - - -manager for AUT or AIF

Question 2

Who are the delegates of the AFM/AIFM?

Answer 2

• Investment manager (some management capacity picks the assets, obligations to ensure compliance with the investment objective and policy of the scheme and with the investment and borrowing powers).
• Fund Accountant (income, distributions and tax accounts)
• Administrator (telling investors about fund changes, issuing sale notes, sale and redemption of shares)

Registrar ( everyone who is in the fund )

Question 3

What is the usual structure of a trust fund?

Answer 3

You have a trust deed which appoints a manager. the manager appoints a registrar, administrator and investment manager. the beneficiaries are the investors. the trustee gives units to the investors rather than shares in the OEIC.