With effect from 1 January 2019, an Additional Supervisory Levy (“ASL”) will apply to any IIA firm, MiFID firm, AIFM or UCITS management company authorised by the Central Bank of Ireland ("Central Bank") on or after that date.
The ASL is distinct from the existing Central Bank annual industry funding levy to which asset managers are already subject.
The applicable ASL rate will be dependent on the relevant firm's PRISM rating, which the Central Bank issues upon authorisation.
Full details of the applicable rates are as follows:
PRISM Impact Rating
Additional Supervisory Levy
Extensions to Authorisations
50% of ASL
This is a new once-off levy applied to IIA firms, MIFID firms, AIFMs and UCITS management companies in the first year of their authorisation to allow for the additional Central Bank supervision and oversight that is required for new firms.
Any existing firm seeking to extend its authorisation to include additional permissions will also be subject to the ASL. For example, a MiFID firm seeking to provide more services prescribed in the legislation under which they are currently authorised.
It will apply to applications that receive authorisation after 1 January 2019 and so represents a new additional cost to factor into the process – for new applications and also those currently in the process but not authorised yet.
In scope firms will be liable to pay the ASL in the first year following authorisation.
Should you have any questions or would like to discuss the above, please contact your usual Maples and Calder contact.