Once the fund is live, regulatory expectations move quickly from setup to oversight, catching many U.S. managers off guard.

To stay ahead, your governance model must do more than check boxes. The model needs to demonstrate substance, structure, and scalability.

Here’s what that looks like:

Substance Over Structure

It’s not enough to have a local entity or board in name only. Regulators expect meaningful decision-making, documentation, and localized oversight, especially with AIFMD.

Proactive Oversight

Establish a clear cadence for governance:

• Board meetings
• Service provider reviews
• Policy updates
• Regulatory Dilings and reporting (e.g., Annex IV, SFDR disclosures, EMIR, FATCA/CRS)
• AML/KYC reviews (initial and ongoing, aligned with local onboarding requirements)

• Don’t just react, schedule and own the process.

Tailor It By Region

Each region has different expectations. What works for Delaware won’t work for Dublin or Luxembourg. Tailor your model to match regulatory norms and cultural expectations.

Always Be Audit-Ready

Keep your fund “audit ready”. Maintain detailed documentation on decision-making, risk controls, and investor communications. This reduces friction and builds trust with regulators and LPs alike.

Bring Your Team Along

Ensure U.S. teams understand what’s required in Europe. Gaps often occur when teams assume their U.S. approach will translate. A little training goes a long way.

In summary: Regulators don’t want perfection, they want to see that you’ve built a solid, transparent, region-aware oversight model that grows with your business.

In Summary: Global Growth Requires a Different Playbook

At KAS Global Edge, we help fund managers create customized roadmaps and build integrated operating models that drive results in complex cross-border environments. If you are considering European expansion or facing execution challenges in an existing structure, we can help you move forward with clarity and conDidence.