Key takeaways

• The German Ministry of Finance recently issued a draft of a regulation to adapt the capital investment rules applicable to German insurers and certain retirement schemes to the regulatory framework under the AIFM Directive.
• If enacted as currently drafted, this regulation would effectively ban German insurers and certain German retirement schemes from investing in private equity, real estate and debt funds managed by (most) non-EEA fund managers.
• We are working with clients and other industry participants to convince the Ministry to eliminate the most troubling provisions of the draft regulation.