Fund management companies manage investment funds for the account of investors and are responsible, among other things, for choosing which investments to make. They are subject to authorisation requirements.
Fund management companies require authorisation from FINMA. A fund management company must meet the following requirements (Arts. 32 FinIA and 41 ff. FinIO):
- it must be organised as a limited company with its registered office and administrative centre in Switzerland;
- it must meet the minimum capital requirements;
- the board of directors must have at least three members;
- the share capital must be divided into registered shares;
- the company must have an organisation appropriate to its role;
- those responsible for managing the fund management company must be independent of the custodian bank, and vice versa.
Role of a fund management company
Fund management companies manage investment funds autonomously in their own name for the account of investors. In particular, they perform the following tasks (Art. 34 FinIA and Art. 49 para. 1 FinIO):
- decide on the issuing of units, the investments and their valuation;
- calculate the net asset value;
- set issue / redemption prices and profit distributions;
- exercise all the rights associated with the investment fund.
Under Article 54 para. 1 FinIO), fund management companies are also responsible for:
- representing foreign collective investment schemes;
- acquiring stakes in companies whose main purpose is to operate collective investment schemes;
- managing unit accounts.
Changes in circumstances
Fund management companies must inform FINMA of any change in circumstances crucial to the granting of authorisation. Any significant changes are subject to prior authorisation by FINMA before resuming operations (Art. 8 FinIA in conjunction with Art. 10 FinIO).
Cessation of an activity for which approval is required
Any intention to cease fund management operations requires prior approval from FINMA (Art. 8 FinIA). The regulatory auditor will also be asked to give its opinion of the intended action.
Information and templates
The following documents can be used when applying for authorisation, making changes requiring authorisation and / or change of fund management companies.