On July 13th, 2017 ESMA, the European Securities and Markets Authority published an opinion in relation to supervisory convergence in the investment management sector in the context of the UK’s withdrawal from the EU.
The opinion sets out a number of criteria to be applied and safeguards to be put in place when (UCITS management companies and) AIFMs delegate certain activities. The principles in the opinion don’t go as far as prohibiting delegation of portfolio management (which is in any case permitted by both the UCITS Directive and AIFMD) but are rather aimed at ensuring a common approach by national competent authorities to safeguard investor protection, the orderly functioning of financial markets and financial stability.
The link to the opinion is:
https://www.esma.europa.eu/sites/default/files/library/esma34-45-344_opinion_to_support_supervisory_convergence_in_the_area_of_investment_management_in_the_context_of_the_united_kingdom_withdrawing_from_the_european_union.pdf