On 2 June 2016, as part of the ongoing Capital Markets Union (CMU) policy initiative, the European Commission launched a consultation on the cross-border distribution of investment funds. The Commission's aim is to improve the passport system for funds, so that they can more easily offer their services and compete in different markets. To this end, the consultation seeks to identify the main barriers to funds operating in member states other than their own home state.

Input is sought from the public, including fund managers, investors, consumer groups, and those who market and sell funds, in order to gain an understanding of the remaining barriers to cross-border distribution. The consultation, which is open for comment until 2 October 2016, specifically seeks feedback on the following areas:

  • Marketing restrictions
  • Distribution costs and regulatory fees
  • Administrative arrangements
  • Distribution networks
  • Notification processes
  • Taxation