On 2 September 2019, The European Securities and Markets Authority (ESMA) published its final guidance regarding liquidity stress tests of investment funds, applicable to both Alternative Investment Funds (AIFs) and Undertakings for the Collective Investment in Transferable Securities (UCITS). 

The guidelines will become applicable on 30 September 2020. The requirements set out in the guidelines are supplementary to the requirements on liquidity stress testing which are enshrined in the AIFMD and UCITS Directives and are already applicable.

The final guidance report can be found here.

ESMA’s news release can be found here.