Munich Private Equity Funds AG, a specialist for private equity in the retail segment, announced on 19 February 2025 that it had launched its first European long-term investment fund (Eltif). The MPE Mid Market Private Equity Eltif is the first Eltif to be approved by the German Federal Financial Supervisory Authority (Bafin) since the regulation came into force, said the company. The fund-of-funds allows retail investors to invest in privately held mid-market companies in the European Union with a minimum investment of €5,000.
“We have been offering retail investors access to private equity through our German asset management company since 1999 and have a long history of constructive and successful cooperation with Bafin in the area of product approval. This is why we are issuing our first Eltif in our core market,” commented Norman Lemke, CEO of Munich Private Equity. “With Eltif, we will be able to offer our access to the best managers in the lower mid-market to private investors outside of Germany as well.”
In contrast with the company’s previous public alternative investment funds, an “Eltif can be offered for sale outside Germany without additional regulatory expense thanks to the EU passporting system,” explained the press release. Moreover, the includes a broader scope of eligible assets, a wider definition of “real assets,” the possibility to set up fund-of-fund strategies or master-feeder structures, the removal of minimum investment thresholds for retail investors and more flexible portfolio compositions.
“The 2024 Eltif reform has significantly improved the distribution opportunities for retail products in the private markets sector. As an industry pioneer, we want to take advantage of this opportunity and expand our existing product offering for private clients with Eltif,” said Nico Auel, member of the management board of Munich Private Equity. “We will start distribution in Austria and then in Germany. In the future, we want to use the opportunities offered by Eltif to open up new markets and countries in the European Union.”
According to the maintained by the European Securities and Markets Authority (Esma), last updated 31 December 2024, there are currently 159 Eltifs. As of publication of this article, Munich Private Equity’s Eltif was not yet part of the Esma list, though it was available in the .
Just under two-thirds (100) of the 159 Eltifs are domiciled in Luxembourg. Thirty-eight were authorised in the grand duchy in 2024 alone. Ireland and Liechtenstein saw their first Eltifs authorised last year.