Questions of the Legal Regulation of Investment Funds in EU

Abstract

For appropriate attraction of retail investors it is necessary toimprove legal regulation of institutes of joint investment and to investigateinvestment's existing forms in the foreign legislation, first of all in EU.Recent research and publications analysis. To research of a legal andeconomic condition of activity of institutes of joint investment the considerableattention of scientists, as lawyers and economists, such as was paid by A. V.Garagonich, Ju. M. Bisjaga, O. Ju. Kampi, O. M. Vinnik, A. M. Dyba, E. A. Sidorov,V. V. Reznikova, Armin J. Cammel and others.Paper objective. Article's purpose is to carrying out of research of economiclegalregulation of institutes of collective investment in EU as example on a way ofadaptation of the legislation of Ukraine to EU law.Paper main body. UCITS can be based in such traditional organizational-legalforms: 1) the common fund which actives cope a management company - the contractform; 2) share fund (unit trust) (the concept confidential (trust) law in general lawsystems); 3) the investment company - the corporate form.The alternative investment fund, except the Directive 2009/65, functions on thebasis Directive 2011/61/EU of the European Parliament and of the Council of 8 June2011 on Alternative Investment Fund Managers and amending Directives2003/41/EC and 2009/65/EC and Regulations (EC) No 1060/2009 and (EU) No1095/2010.European social entrepreneurship funds (EuSEF) are funds which are directedon achievement of positive social consequences and the decision of social problemsand put their corporate purposes, unlike usual investment funds in which an overallobjective is profit accumulation.European venture capital funds (EuVECA) are directed on assistance todevelopment of venture investments into the innovative SME.Funds of long-term investment are separately regulated in EU. Investmentthrough European long-term investment funds (ELTIF) provides wider approach,than EuVECA and EuSEF, namely investments in a wide range of long-term activesprivate investors.Conclusions of the research. Existing statutory acts and actual tendencies ofregulation in the law of EU of institutes of collective investment testify to adiversification of possibilities for investors regarding placing of investments intovarious actives depending on the purpose of placing, kinds of the actives, differentdegree of investment risks, placing terms that, on the other hand, gives possibility torecipients of various branches of economy and social groups to have access toinexpensive non-bank financing.