FR - Publication of a guide on Specialised Financing Companies

02/09/2020

On June 11, 2020, the Association Française de Gestion (AFG) published a practical guide on Specialized Financing Companies (SFCs).

The SFC allows all investments of a vehicle wishing to use the ELTIF Label to be carried out under French law. This Practical Guide was produced by the AFG in order to provide its members with a concise overview of the characteristics of securitisation undertakings following the reform undertaken by the Order of 4 October 2017 and its detailed regulations of 19 November 2018.

The SFC is a new type of alternative investment fund (AIF) under French law that complements other categories of AIFs focused on financing, namely specialised professional funds (SPFs) and securitisation undertakings (SUs). It is a debt fund that can issue bonds, with the list of eligible assets extended to include receivables, loans, property and equities, guarantees, sureties or sub-participations. The SFC can invest in France and abroad and be underwritten by French and foreign investors under optimal legal and fiscal conditions.