With support from Societe Generale Securities Services (SGSS), which recently won the mandate, Financière Arbevel has recently converted eight of its common funds into a French SICAV, thus being among the first French investment firms to apply measures implemented by the FROG1 working group.
As a SICAV2, it specifically benefits from a solid framework to protect investor interests through a dedicated governance charter. A benchmark of quality among foreign investors, this governance is managed by the presence of an independent director on its board of directors.
Another advantage of the transformation is that the funds’ performance track record is maintained since their launch as well as their ISIN codes, which remain unchanged.
This support from SGSS was achieved in the framework of the winning mandate for a wide range of post-trade services. Societe Generale provides Financière Arbevel in France the following services: depositary, accounting and valuation administrator, registrar, administration, monitoring of statutory ratios, KID, PRIIPS, AIFM3, Solvency II reporting as well as securities lending, foreign exchange and clearing of products impacted by the EMIR4 regulation.
1 FROG Working Group (French Routes and Opportunities Garden)
The FROG group, created by the French regulator (Autorité des Marchés Financiers) and the French Asset Management Association (AFG), shares the objective to provide French and foreign asset management firms that have chosen to domicile their investment funds in France with the best possible conditions for international growth.
2 SICAV : Sociétés d’Investissement à Capital Variable
3 KID : Key Information Document
PRIIPS : European Regulation « Packaged Retail Investment and Insurance Products »
AIFM : European Directive « Alternative Investment Fund Managers »
4 EMIR : European Regulation « European Market and Infrastructure Regulation »