1. An AIF management company shall have at all times:

(i) initial capital of at least €125,000 ("Initial Capital Requirement"); or

(ii) one quarter of its total expenditure taken from the most recent annual accounts ("Expenditure Requirement");

whichever is higher ("Minimum Capital Requirement").

2. An AIF management company shall:

(a) have financial resources, calculated in accordance with paragraph 2 of Annex I to this chapter - Minimum Capital Requirement Report, Notes on Compilation, at least equal to its Minimum Capital Requirement ("Financial Resources");

(b) hold its Minimum Capital Requirement in the form of Eligible Assets, as specified in paragraph 3 of Annex I to this chapter - Minimum Capital Requirement Report, Notes on Compilation;

(c) be in a position to demonstrate, to the Central Bank, its compliance with the Minimum Capital Requirement, as per Annex I to this chapter, throughout the reporting period; and

(d) act honestly, fairly, professionally, independently and in the interest of the AIF and the unitholders of the AIF.