The Bank of Lithuania (BoL) has granted the Alternative Investment Fund Manager (AIFM) licence to the investment management company Nter Asset Management. This licence will enable the company to operate throughout the European Union (EU) and the European Economic Area (EEA) under a single European regulation.
Under this legislation, any investment undertakings with assets under management of more than EUR 100 million are required to apply to the BoL for an AIFM licence. Its possession is also seen as a mark of quality, demonstrating that the undertaking complies with the highest standards set by the EU for alternative fund managers.
“Obtaining the licence is an important achievement, as it will provide additional investment security for investors and enable us to expand the geography of our activities. I believe it is also important for investors to know that their capital is being managed in accordance with the strict EU requirements for alternative fund managers.
At the same time, we are entering a new phase – after more than 20 years of consistent expansion, we have reached a symbolic milestone, as the value of the assets entrusted to our management has exceeded EUR 150 million,” says Mantas Skipitis, CEO of Nter Asset Management.
The licence granted to Nter Asset Management imposes stricter requirements for risk management, liquidity assessment, asset valuation, custody, investor protection and information provision. One of the most significant changes following the AIFM licence is that the assets of all funds must be transferred to a depositary. Its main function is to protect the investors' investments, to represent their interests and to ensure that the fund manager acts fairly towards all investors in the fund. Depositary services for funds managed by the company were launched in 2023.