MFA aims to assist investors, policy officials and stakeholders in understanding the potential effects of Brexit on the alternative asset management sector. MFA will continue to engage constructively with the EU-27 and the United Kingdom to highlight risks to asset managers under a hard Brexit, including:

  1. Marketing: Non-EU managers that have established a UK-based sub-advisor to market into the EU-27 under national private placement regimes may need to find alternatives;
  2. EU Trading Obligation: The post-crisis EU reform that obligates many shares and derivatives to be traded on an authorized EU trading venue, or on a trading venue in an equivalent jurisdiction, will not be satisfied when trades occur on a UK trading venue; and,
  3. Data Transfers: Because the EU-27 has not made a data protection “adequacy” determination with regards to the UK, firms transmitting data from the EU-27 to the UK may need to put contingency arrangements in place.