Obtain authorization to transfer the management of a domestic investment fund

You need approval from the German Federal Financial Supervisory Authority (BaFin) to transfer the management of an investment fund to another capital management company.

As a capital management company (KVG), you can terminate your right to manage an investment fund. In addition, the right may expire, for example in the event of insolvency. In this case, either the investment asset or the right to manage this investment asset is transferred to a depositary. The depositary, a special credit institution or securities firm, then winds up the investment assets and distributes them to the investors.

If you wish to transfer the right to manage the investment fund to another capital management company instead, you will need approval from the German Federal Financial Supervisory Authority (BaFin). Approval requires an application that you submit via BaFin's reporting and publication platform (MVP Portal).

Transfer of the management right for an investment fund to another KVG:

• Application by the managing KVG or
• Application by the depositary of the investment fund if it wishes to refrain from liquidating the investment fund and transfer the investment fund to another KVG

Transfer of the management right for an investment fund to another KVG:

• The investment fund is owned by the KVG.
• The investment assets are co-owned by the investors, but the KVG has the right of management and disposal over them.
• The receiving KVG has a license to manage investment assets.

• Appeal:

Detailed information on how to file an appeal can be found in the notice of your application.

• Action before the administrative court if your objection is rejected.

You must apply for approval to transfer the management right for an investment fund to another KVG via BaFin's MVP Portal before the transfer:

• To do so, log in to the MVP Portal with your access data.
  • If you do not have access yet: First register on the MVP Portal.
• Select the specialist procedure "Notification procedure KAGB - funds".
  • Please note that you must be registered for the specialist procedure. If you have not yet registered, you can do so in the "Specialized procedure" section ("Apply for specialized procedure").
• Select "Submit notification" and complete the application for approval of transfer to another investment management company online.
• Compile all required documents.
• Send these documents to BaFin electronically via the MVP portal only.
• BaFin will check your application to ensure that all transfer requirements have been met and will grant you approval via the MVP Portal in the form of a PDF document, provided you meet all requirements.
• You must then announce the transfer in the Bundesanzeiger (Federal Gazette) and in the annual or semi-annual report and the electronic medium specified in the sales prospectus.
• You may only make the announcement once you have received BaFin's approval.

There is no time limit. The application must be submitted to the competent body before the transfer.

The processing of an authorization to transfer the management right to another capital management company takes a maximum of 8 weeks if all legal requirements are met.

Administrative fine 1.025,00 EUR

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