CHILE Law and Practice Contributed by: Felipe Díaz Toro, Victor Riadi and Ignacio Ruiz Rodríguez, EDN Abogados
3.3.2 Requirements for Non-Local Service Providers See 2.3.2 Requirements for Non-local Service Providers . 3.3.3 Local Regulatory Requirements for Non- Local Managers See 2.3.3 Local Regulatory Requirements for Non-local Managers . 3.3.4 Regulatory Approval Process See 2.3.4 Regulatory Approval Process . 3.3.5 Rules Concerning Pre-Marketing of Retail Funds See 2.3.5 Rules Concerning Pre-marketing of Alternative Funds . 3.3.6 Rules Concerning Marketing of Retail Funds See 2.3.6 Rules Concerning Marketing of Alter- native Funds . 3.3.7 Marketing of Retail Funds See 2.3.6 Rules Concerning Marketing of Alter- native Funds . Investment funds targeting 50 or more investors must be structured as FIs (public funds only). 3.3.8 Marketing Authorisation/Notification Process See 2.3.8 Marketing Authorisation/Notification Process . 3.3.9 Post-Marketing Ongoing Requirements See 2.3.9 Post-marketing Ongoing Require- ments . 3.3.10 Investor Protection Rules See 2.3.10 Investor Protection Rules .
3.3.11 Approach of the Regulator See 2.3.11 Approach of the Regulator . 3.4 Operational Requirements See 2.4 Operational Requirements . 3.5 Fund Finance See 2.5 Fund Finance . 3.6 Tax Regime See 2.6 Tax Regime .
4. Legal, Regulatory or Tax Changes 4.1 Recent Developments and Proposals for Reform In the past three years, and in line with cur - rent global trends, both the OECD and the IMF issued recommendations, through the Growth and Equity Tax Commission, in order to mini - mise the tax benefits bestowed on investment funds by Chilean legislation. These recommen - dations led to the introduction of a 2022 bill seeking to eliminate the tax deferral benefit for private investment funds. However, the bill failed to secure sufficient legislative support to imple - ment the proposed tax reform. In April 2024 there was a decision by Chile’s Central Bank regarding the alternative invest - ment threshold allowed for the pension fund regime. This decision is intended to enhance the profitability of pension funds while improving the allocation of investments in alternative assets. As a result, the alternative investment sector in Chile anticipates growing interest in real estate, private equity, private debt, and infrastructure investment funds, particularly in light of the gradual increase in limits on pension fund invest - ments in alternative assets.
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