AFM emphasizes its AML/CFT supervisory authority over third country fund managers and investment firms

AFM emphasizes its AML/CFT supervisory authority over third country fund managers and investment firms

Last week, the AFM published an update of its guidance document on Dutch AML/CFT laws (the Dutch Money Laundering and Terrorist Financing Prevention Act (Wwft), the Sanctions Act 1977 and Regulation Supervision Sanctions Act). In the update, the AFM highlights that it also authorised to supervise compliance of the Dutch AML/CFT laws by non-EU third country fund managers and investment firms that provide services in the Netherlands on a cross border basis. It is not new that third country investment firms relying on the Article 10 Exemption Regulation to provide services to professional investors in the Netherlands are still subject to Dutch AML/CFT Laws. The same applies to third country fund managers that make use of the Dutch National Private Placement Regime (NPPR/Article 42 AIFMD regime) to offer investment funds to qualified investors in the Netherlands. It is, however, the first time that the AFM refers to it specifically in this guidance document.