The Monetary Authority of Macao published an overview of the Macao Special Administrative Region’s reformulated Investment Funds Law, which enters into force on 1 January 2026, updating the regulatory framework for investment funds and fund management. The reform is positioned as aligning local fund supervision more closely with international approaches, strengthening investor protection, and removing barriers to fund establishment and ongoing operations. Key changes include updated rules for funds’ related-party transactions, new prudential limits for entities within the same group, and refined provisions for real estate investment funds. Investor protections are bolstered through higher disclosure requirements in fund documents and new provisions on fund participants’ meetings. The law also removes minimum participant and minimum fundraising thresholds for fund formation, abolishes the supervisory fee on investment funds, and allows investment fund management companies to be established with a single shareholder. Further measures expand the permitted scope of business for fund management companies, broaden the range of eligible depositaries, introduce specific rules for private funds, and establish regimes for collective investment companies and limited partnership funds.
Monetary Authority of Macao 2025-12-31
Monetary Authority of Macao details reforms to the Investment Funds Law effective 1 January 2026
The Monetary Authority of Macao released an overview of the revised Investment Funds Law, effective 1 January 2026, enhancing the regulatory framework for investment funds and management. Key updates include stricter related-party transaction rules, new prudential limits, and increased investor protections through higher disclosure requirements. The law also removes minimum thresholds for fund formation, abolishes supervisory fees, and expands the business scope for fund management companies.