Managers of Alternative Investment Funds that do not fall under the AIFMD often also make use of a Depositary. The objective is at all times to protect the interests of the investors. This sometimes takes place according to the AIFMD model in order to offer the investors more security. In that case the depositary function is shaped along the lines as prescribed by the AIFMD. A depositary can also take on other duties:
- As director of a depositary or custodian acting as legal owner of the investments. This ensures that the fund is independent of the financial situation of the Manager;
- As manager of the bank accounts of the fund. In this way an independent party is brought in to carry out payment operations;
- As holder of collateral which in case of problems can be monitised on behalf of investors;
- As guardian of investors’ interests in all those cases where these interests are involved.
The remuneration for the execution of these tasks is usually set out with the agreement that in cases where action is required the hours can be charged. During the analysis phase actual hours worked are also charged according to our fixed rates.