Crestbridge in Luxembourg has enhanced its position as a provider of services to venture capital funds having received approval through Luxembourg’s regulator (CSSF) to act as a manager under the European Venture Capital Funds (EuVECA) regulation.
Already an authorised provider of both UCITS and AIFM services in Luxembourg, the new license means that Crestbridge is now one of only a handful of authorised firms across Europe able to provide management services to venture capital funds through its well established Management Company (ManCo) framework.
Crestbridge’s successful registration means it can act as manager for qualifying venture capital funds and distribute them in each EU member state, provided the fund meets certain criteria, and that the fund is marketed only to professional investors under MiFID or to experienced non-institutional investors who invest at least EUR100,000 and meet certain criteria.
The EuVECA regulation, which became applicable in all EU Member States on 22 July 2013, the same day as the Alternative Investment Managers Directive (AIFMD), provides for a common EU framework for fund managers of certain venture capital funds which place a percentage of investments into supporting young and innovative companies in Europe and which fall below the AIFMD threshold of EUR500 million.
Under the regulation, venture capital funds that might otherwise not meet the high entry thresholds under AIFMD can benefit from an EU passport to be marketed into and to raise capital across Europe under the EuVECA label. The regulation is intended to enhance the growth and innovation of small and medium-sized enterprises in the EU.
Daniela Klasén-Martin, Managing Director and Country Head of Crestbridge (Luxembourg), says: “At Crestbridge we are committed to being at the cutting edge of pan-European alternative funds business, and this registration positions us strongly in a really exciting area. By enabling us to support venture capital fund managers with their marketing and distribution throughout Europe, it gives us a real advantage and complements our existing AIFM and UCITS ManCo capabilities.
“In essence, the licence opens up significant opportunities for the distribution of venture capital funds across Europe. With venture capital very much a part of the Europe 2020 strategy aimed at stimulating economic growth and fostering entrepreneurship in Europe, I am delighted that we are able to support such a pivotal area of European funds business.”
Through its office in Luxembourg, Crestbridge is a leading independent provider of fiduciary, governance and administration services. It offers a comprehensive range of services including UCITS, AIFM and EuVECA Management Company services and Independent Risk Management solutions.
/p>“The enhancements we’ve made to IMI Pro place it at the forefront of what is available in the market in terms of the scope of cover it affords, while maintaining broad non-disclosure language to ensure that the policy can respond even as risk exposures continue to shift.”
