FRANCE Law and Practice Contributed by: Rima Maitrehenry, Fabrice Rymarz, Charles-Xavier Vincenti and Stein Mpassi Loufouma, Racine
in by professional investors, such fund manager is not allowed to manage a French AIF unless this AIF is strictly limited to professional inves - tors. In other words, even if certain AIFs dedi - cated to professional investors are authorised to attract retail investors (see 2.2.3 Restrictions on Investors ), such flexibility is no longer available when these AIFs are managed on a cross-border basis by an EU fund manager under the AIFMD management passport. 2.3.4 Regulatory Approval Process For AIFs that require the AMF’s prior approval for their setting-up (see 2.1.2 Common Process for Setting Up Investment Funds ), the authorisation process does not exceed one month. This time - frame begins from the date the AMF acknowl - edges receipt of a complete application. The completeness of the initial application is crucial for the process to proceed smoothly. If the application is incomplete, the timeline may be extended while the applicant addresses any deficiencies. 2.3.5 Rules Concerning Pre-Marketing of Alternative Funds These rules are identical to the ones provided by Directive 2019/1160/EU, amending the AIFMD. Any French or EU AIFM undertaking the pre- marketing of a French or EU AIF’s interests to professional clients in France must send a pre- marketing notification to the AMF within two weeks of starting this pre-marketing. 2.3.6 Rules Concerning Marketing of Alternative Funds These rules are identical to the ones provided by the AIFMD. In particular, marketing of AIFs in France is sub - ject to either an AMF notification (for marketing
towards professional investors) or an AMF prior authorisation process (for marketing towards retail investors). In practice: • French and EU AIFs managed by French AIFMs are authorised to be marketed in France to professional clients, subject to a prior notification to the AMF; • French and EU AIFs managed by EU AIFMs are authorised to be marketed in France to professional clients via the marketing pass - port (prior notification to the AMF through the AIFM supervisory authorities); • third-country AIFs managed by third-country AIFMs are authorised to be marketed in France to professional clients or retail clients, subject to a prior authorisation by the AMF and to compliance with equivalence require - ments; and • French or EU AIFs managed by French or EU AIFMs are authorised to be marketed in France to retail investors, subject to a prior authorisation by the AMF and equivalence requirements. The following conduct is not considered “mar - keting”: • reverse solicitation; and • contacts made with funds-of-funds managers or investment service providers, provided that the funds and/or the mandates managed by them are eligible to invest in the AIF proposed to them. 2.3.7 Marketing of Alternative Funds French AIFs could be marketed to investors (either French or non-French) eligible to invest in such AIFs (retail, professional, etc; see 2.2.3 Restrictions on Investors ).
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