Apply for a licence to operate a capital management company

You must submit the application for permission to operate a capital management company informally in writing to BaFin.

• Send your informal application together with the required documents to BaFin.
• BaFin will review your documents. After reviewing your documents, BaFin may contact you in writing by e-mail or post if further documents are required.
• If necessary, you will receive information about extensions of the deadline.
• BaFin issues the notice of approval or a notice of refusal of approval as well as a notice of fees.
• BaFin will arrange for the permit to be published in the Federal Gazette.

Permission to conduct business as a capital management company may be applied for:

• Companies with their registered office and head office in Germany that wish to manage investment assets.

Note: The management of an investment fund is deemed to take place if at least portfolio management or risk management is provided.

When submitting your application, you must submit

• Proof of sufficient initial capital
  • Proof of initial capital of at least EUR 300,000 for an internal KVG and EUR 125,000 for an external one.

Note: Additional capital requirements may arise in special individual cases.

• Proof of at least 2 reliable and professionally suitable managing directors
• Information on significant shareholdings and close links
• meaningful business plan
  • inter alia, projected balance sheets and projected profit and loss accounts for the next three years as well as a description of the planned internal control procedures and business organisation
• information on remuneration policies and practices
• a listing of all outsourcing companies
• details of investment strategies
• submission of the contract appointing the depositary for each investment fund
• articles of incorporation/partnership agreement.
  
  

• Fees for the granting of a permit: EUR 19,185

none

• for processing the application: usually 2 to 8 months.

Notes:
The permissible processing period for the application for permission for an AIF capital management company is generally 3 months after submission of the complete application. BaFin may extend this period by up to 3 months if it deems this necessary due to the special circumstances of the individual case. The applicant must be informed of the extension of the period.
The permissible processing period for the application for authorisation of a UCITS capital management company is six months after submission of the complete application.

• §17 Kapitalanlagegesetzbuch (KAGB)
• § 20 Kapitalanlagegesetzbuch (KAGB)
• § 21 Kapitalanlagegesetzbuch (KAGB)
• § 22 Kapitalanlagegesetzbuch (KAGB)
• EU-Richtlinie 2009/65/EG
• EU-Richtlinie 2011/61/EU
• Verordnung über die Erhebung von Gebühren und die Umlegung von Kosten nach dem Finanzdienstleistungsaufsichtsgesetz (FinDAGKostV)

• opposition
• administrative claim

• Forms: no
• Online procedure possible: no
• Written form required: yes
• Personal appearance required: no

Notice:
Online procedure is expected to be available from April 2023.