Definition Maltese Law (quoted directly from MFSA)
An investor may only be classified as a “Qualified Investor” if he/she attests that he/she meets one or more of the following criteria:
In the case of joint holders, all holders should individually satisfy the definition of “Qualified Investor.”
The minimum initial investment amounts to EUR 75,000 or other currency equivalent. The total amount invested may not fall below this threshold (or equivalent) unless this is the result of a fall in the net asset value. Provided that the minimum threshold is satisfied, additional investments – of any size – may be made. The minimum investment threshold applies to each individual “Qualified Investor”. In the case of joint holders, the minimum investment limit remains EUR 75,000 or equivalent in another currency.
In the case of an umbrella fund comprising of sub-funds each of which is set up as a Professional Investor Fund, the EUR 75,000 threshold may be applicable on a per scheme basis rather than on a per sub-fund basis. Thus effectively a “Qualified Investor” may hold less than EUR 75,000 in a sub-fund provided that his total holding in the scheme amounts to at least EUR 75,000.
Prior to accepting any investment, the PIF must be in receipt of a completed “Qualified Investor Declaration Form” in which the investor confirms that he/she has read and understood the mandatory risk warnings and describes why he/she is a “Qualified Investor”. In the case where the Qualified Investor is a company or partnership, such declaration is required from the Directors/ Partners, whilst in the case of a Trust, from the Trustee. A copy of this Declaration Form is being reproduced in the Brochure “A Guide to the Establishment of Professional Investor Funds” at Appendix III (page 18/19 Qualified Investor Declaration Form).
PIFs promoted to Qualified Investors are not subject to any restrictions on their investment or borrowing powers (including leverage) other than those, which may be specified in their Offering Document.