Regulatory Changes Challenge Cross-Border Fund Managers in 2026
International fund managers are navigating a new wave of regulatory shifts as Saudi Arabia, Guernsey, and Italy implement significant changes to their fund distribution frameworks in early 2026. For investment professionals engaged in cross-border strategies, staying abreast of these developments is vital for ensuring market access and managing operational costs effectively.
Compliance software provider Zeidler Group has analyzed the key regulatory updates to monitor this March, shedding light on the evolving landscape.
Saudi Arabia Expands Fund Distribution Channels
In Saudi Arabia, the Capital Market Authority (CMA) has widened the scope of entities authorized to distribute fund units. This change follows the introduction of two new Federal Decree Laws aimed at enhancing capital markets regulation, effective January 2026. Notably, Article 17(f) of the Investment Fund Regulations now allows Investment Fund Management Distribution Platforms and Electronic Money Institutions licensed by the Saudi Central Bank to distribute investment fund units. This represents a substantial expansion of existing distribution channels, enhancing accessibility for fund managers.
Guernsey Updates Legal Framework for Foreign Funds
Guernsey has amended its regulatory framework concerning foreign funds offered within its borders. These changes include revised guidance on the Designated Jurisdiction exemption, offering greater clarity for fund managers marketing international products locally. Additionally, the Guernsey Financial Services Commission has revised its fee structure effective January 1, 2026, increasing the Form EX application fee from £1,470 to £1,525, and raising the annual fee for Exempt Non-Guernsey Schemes from £735 to £765.
Italy Harmonizes Regulatory Fees for Investment Funds
In Italy, the Italian Securities and Exchange Commission (Consob) has updated its regulatory fee framework for foreign investment funds beginning in 2026. Resolution No. 23799, enacted on December 17, 2025, aligns fees for both foreign UCITS and AIFs at €2,100 per registered fund or sub-fund. Fund managers should be aware that fees for UCITS remain applicable even if the offer has closed, as long as Italian investors maintain their investments.
Zeidler Group Enhances RegTech Platform for European ETFs
In addition to regulatory updates, Zeidler Group has amplified its Global Knowledge Hub platform to support the burgeoning European ETF market. The platform now features updated guidance on ETF listings for major exchanges, including Ireland’s Euronext Dublin, Germany’s Deutsche Börse, and Switzerland’s SIX Swiss Exchange. Covering over 80 jurisdictions, the platform is maintained by Zeidler’s legal and regulatory experts, aiding fund managers in navigating the complexities of cross-border distribution strategies.
These regulatory changes reflect the dynamic landscape of investment management and the pressing need for fund managers to adapt swiftly to maintain compliance and leverage new opportunities.