At FundSetup, we specialize in launching fully compliant Alternative Investment Funds (AIFs) for global asset managers, family offices, UHNWIs, and institutions. With regulatory hubs across Luxembourg, ADGM (Abu Dhabi), DIFC (Dubai), and Cyprus, our end-to-end solutions include legal structuring, fund registration, accounting, investor onboarding, and compliance services.
What is an Alternative Investment Fund (AIF)?
An Alternative Investment Fund is a collective investment vehicle that pools capital from professional or qualified investors and invests in private equity, venture capital, hedge funds, real estate, infrastructure, and other non-traditional assets. Unlike mutual funds or UCITS, AIFs are typically tailored for sophisticated investors seeking diversified strategies and higher returns.
AIFs can be structured flexibly depending on the jurisdiction and offer tax efficiency, investor privacy, and reduced regulatory burdens compared to retail funds.
Why Choose FundSetup for AIF Incorporation?
With over a decade of experience, FundSetup ensures a smooth and compliant launch of your Alternative Investment Fund in globally trusted jurisdictions. We handle the entire fund lifecycle, from feasibility studies and legal advisory to fund administration and audit coordination.
Our Key Differentiators:
Multi-jurisdictional reach: Luxembourg, UAE (ADGM, DIFC), Cyprus
Regulatory expertise: RAIF, SIF, AIFMD, Exempt Funds, Qualified Investor Funds
Turnkey fund setup: Legal formation, NAV reporting, audit, compliance
Investor-ready documentation: PPM, term sheet, investment agreement
Ongoing support: AML/KYC, FATCA, CRS reporting, ISIN activation
Best Jurisdictions for AIF Setup
1. Luxembourg – Europe’s Gateway for Fund Structuring
Luxembourg is a premier destination for AIFs under structures like RAIF (Reserved Alternative Investment Fund) and SIF (Specialized Investment Fund). It offers:
Full AIFMD compliance
Access to the EU investor base
Fast-track RAIF incorporation (within 3–4 weeks)
Favorable tax regime
Wide choice of fund vehicles (SCA, Sàrl, SCSp)
2. ADGM – Abu Dhabi Global Market
ADGM provides a forward-looking regulatory environment ideal for crypto funds, VC funds, and real estate strategies:
100% foreign ownership
FSRA-regulated environment
Category 3C fund manager license
Flexible investment strategies allowed
Quick registration process
3. DIFC – Dubai International Financial Centre
DIFC is a globally respected financial hub offering flexible fund structures such as:
Exempt Funds and Qualified Investor Funds (QIFs)
Cost-effective incorporation
Access to Middle Eastern and Asian capital markets
English common law framework
Top-tier service providers and fund administrators
4. Cyprus – Cost-Effective and EU-Regulated
Cyprus is gaining traction as a destination for Alternative Investment Funds due to:
Fast setup timelines
Low operational costs
Full EU passporting rights
Tax neutrality and dividend exemption
UCITS and AIF options available
Step-by-Step Process to Setup an Alternative Investment Fund
1. Initial Planning and Jurisdiction Selection
We assess your investment strategy, target investors, asset class, and capital goals to help you choose the most suitable jurisdiction.
2. Legal Structuring and Documentation
Our legal partners draft all regulatory-compliant documents including:
Private Placement Memorandum (PPM)
Articles of Association
Investment Management Agreements
Custodian and Administrator Contracts
3. Regulatory Licensing and Registration
We liaise with financial regulators (CSSF, FSRA, DFSA, CySEC) to:
Register your fund
Obtain the fund manager or GP/LP structure approval
Activate ISIN codes and regulatory filings
4. Fund Administration and NAV Reporting
We manage all operational aspects post-launch:
Daily/weekly/monthly NAV accounting
Financial statement preparation
Audit coordination with Big 4 or local firms
5. Investor Onboarding and Compliance
We implement a fully compliant AML/KYC onboarding process integrated with FATCA/CRS, enabling seamless capital inflow from global investors.
Documents Required to Launch an AIF
To begin your AIF setup, you will need:
Identity verification documents for fund managers and directors
Business plan and investment strategy
Proof of address and source of funds
Legal entity documents for GP/Management company
Risk management and valuation policies
ISIN Activation and NAV Reporting Services
ISIN (International Securities Identification Number) registration is crucial for fund visibility and transparency. We coordinate with relevant authorities to:
Secure ISIN codes
Register funds on Bloomberg or Morningstar
Facilitate NAV reporting and investor fact sheets
Fund Compliance, AML & Audit Coordination
FundSetup maintains strong relationships with approved auditors and compliance officers across all jurisdictions. We ensure:
Ongoing compliance with AML, KYC, AIFMD, FATCA, CRS
Appointment of regulated depositories or custodians
Preparation of audited annual financial statements
Filing with local regulators and tax authorities
Timeframe to Launch an AIF
Jurisdiction | Estimated Time to Launch |
---|---|
Luxembourg (RAIF) | 3–4 weeks |
ADGM (Crypto/VC Fund) | 6–8 weeks |
DIFC (QIF/Exempt Fund) | 5–6 weeks |
Cyprus (AIF) | 4–6 weeks |
Why AIFs are Ideal for Global Investors
Alternative Investment Funds are engineered to attract professional investors with high-net-worth profiles. Benefits include:
Tailored strategies not bound by retail limitations
Low regulatory overhead with proper risk disclosures
Access to emerging asset classes: crypto, NFTs, renewables, etc.
Greater flexibility in leverage, redemption, and lock-in structures
Contact Us to Launch Your AIF Today
Whether you’re seeking a RAIF in Luxembourg, crypto fund in ADGM, or a QIF in DIFC, FundSetup has the local expertise and global network to help you launch efficiently and stay fully compliant.
📞 Call Now: +971 58 588 2014
📧 Email: [email protected]