AIC has responded to ESMA's consultation on Level 2 measures under the AIFMD. Its main concerns are on the scope of coverage proposed on risks to be covered and it much prefers ESMA's option 2 on cash monitoring, saying the first option approach is unworkable. It also believes transaction mirroring is not necessary to deliver what the Level 1 text requires. Finally, it cautions against extending the depositary's duties into those that are more properly within the AIFM's responsibility. It also says the costs implications of greater risks for depositaries should not be underestimated. (Source: AIC responds on AIFMD Level 2)