Employee savings funds: the AMF amends its policy on the simplified integration of liquidity management tools

Change to the start of the transitional period

At the end of 2022, the AMF introduced a transitional period, running from 1 January to 31 December 2024, to make it easier for asset management companies (AMCs) to integrate gates (a mechanism for capping redemptions) into existing employee savings funds. During this period, the integration of gates will be simplified and investors will not have to be individually notified. Instead, they may be informed by any means, such as on the AMC’s website, provided certain conditions are met.

To allow existing feeder employee savings funds to introduce gates at the same time as their master fund, which can take advantage of a transitional period that has already begun, the AMF is bringing forward the start of the transitional period so that it begins immediately.

The end of the transitional period remains 31 December 2024.

Deadlines remain unchanged

The measures applicable when no gates are introduced, and in particular the information to be included in the prospectus in such cases, must be applied (i) from 1 January 2024 for employee savings funds created after this date and (ii) by 31 December 2024 at the latest for all other employee savings funds. These deadlines are therefore unchanged, and this should give employee savings providers sufficient time to upgrade their tools to include features that will make it possible to activate gates.