Head of CySEC Demetra Kalogerou told the Cyprus News Agency that 14 companies have applied for an AIF licence, five of which have been approved.

UCITS seek private investors and collectively invest in transferable securities and / or in other liquid financial instruments and alternative investment funds (AIF), which make alternative investments including on real estate, ships and metals.

European legislation provides that such entities can manage funds of over €100 million, Kalogirou said.

These companies aim to manage AIFs, which have already been, or will be established in other European countries or Cyprus, she added.

Kalogerou said in certain cases their purpose is to invest capital in sectors of the Cypriot economy, such as shipping but also in private companies operating on the island, which have good growth prospects.

CySEC has also received 12 applications for the establishment of private investment plans (ICIS).

Kalogerou said foreign interest in investing capital in sectors of the Cypriot economy has been rising.

Referring to a UCITS management company GMM that has already been licensed, she said that it has already issued three mutual funds, of which two are single schemes and one is an umbrella scheme with 14 sub-funds of various types.

Source: Cyprus Mail