FR – The AMF has updated its doctrine on liquidity management tools focusing on Gates
On October 6, 2022, following the public consultation held in February 2022 on the strengthening of liquidity management tools requirements, the Autorité des Marchés Financiers (AMF) published an update of its doctrine to clarify its requirements on the way these tools operate in collective investment undertakings (UCIs).
To encourage the introduction of a mechanism capping redemption requests (Gates), the AMF implemented a transitional period until 31 December 2023, period during which holders may be informed of the introduction of Gates by any means.
To streamline the doctrine on Gates, instruction DOC-2017-05 now provides a framework for the use of the Gates mechanism for all the UCIs concerned, as well as the specific practices of Real Estate UCIs and certain Private Equity funds open to subscriptions and redemptions at the request of investors (known as “Evergreen FCPR”).