Operational Information

CFCL General information – Cyprus

Cyprus CFCL

Reference

Service level
CFCL
Last Updated
16.09.2024

CFCL eligible fund types 

Register market

Investment funds in Cyprus can be broadly classified as either undertakings for collective investment in transferable securities (UCITS) or alternative investment fund (AIF). 

UCITS are governed by the Open-Ended Undertakings for Collective Investment (UCI) Law 2012 (as amended) and can take the form of a common fund (CF) or a variable capital investment company (VCIC). 

AIFs are governed by the Alternative Investment Funds Law of 2018 (as amended), generally AIFs can be established in the following legal forms: 

  • Common fund (CF) – not applicable for AIF LNP; 
  • Variable capital investment company (VCIC); 
  • Fixed capital investment company (FCIC); 
  • Legal partnership with or without legal personality (LP). 

Furthermore, AIFs can be categorised as the following: 

  • AIF – Alternative investment funds that can be offered to unlimited number of investors, and are subjected to greater regulation and oversight under the AIF regime; 
  • AIF LNP – Alternative investment funds with limited number of persons. There is a limit on the number of investors allowed, currently 50; 
  • RAIF – Registered alternative investment funds are not subjected to authorization and licensing procedures in Cyprus. Registration with Cyprus Securities and Exchange Commission (CySEC) is required. 

CSD link

No CSD link as the Cyprus market is register only.

Exchange Traded Funds (ETFs)

Exchange-Traded Funds (ETFs) are not permitted and cannot be traded within the Cyprus market.

Operational arrangements 

This section describes the operational arrangements of the Cyprus market: 

Register Market

Remarks 

Settlement free of payment

Yes 

Settlement against payment 

Yes 

Eligible settlement currencies (between CEU, CBL and CFCL counterparties only): AUD, CAD, CHFa, CNY, CZK, DKK, EUR, GBP, HKD, HUF, JPY, MXN, NOK, NZD, PLN,  SEK, SGD, TRY, USD and ZAR. 

a. Settlement in CHF is possible only for non-Swiss securities and not against SIX SIS as counterparty in CEU.