An Actively Managed Certificate (AMC) is a security that packages a professionally managed investment strategy into a single listed instrument, so the portfolio manager can adjust the underlying assets continuously without the investor trading anything. Legally it is a debt obligation of its issuer, not a fund, which makes the issuer's structure and collateralisation the central diligence question.
When a strategy is too specialised, too new or too small to justify a full fund launch, the AMC is the wrapper the industry reaches for. Understanding how it works tells you exactly what you own, what protects it, and what to check before subscribing.
How an AMC works
An issuer creates a certificate whose value tracks a reference portfolio. A portfolio manager, operating under a defined investment policy, adjusts that portfolio dynamically: equities, bonds, derivatives, commodities and other liquid assets can all be included. The investor holds one security with one ISIN; every rebalancing decision happens inside the wrapper.
The economics follow the strategy: the certificate's price reflects the reference portfolio's value net of fees, marked to market. Where the AMC is listed, a market maker quotes daily buy and sell prices, giving intraday liquidity comparable to other listed securities.
AMC vs fund: the real trade-off
| Dimension | AMC | Investment fund |
|---|---|---|
| Asset protection | Issuer obligation; strong only if collateralised | Segregated fund assets by law |
| Launch time | Weeks | Three to six months |
| Cost base | Lower setup and running costs | Higher, full fund infrastructure |
| Strategy flexibility | Very high, incl. niche assets | Constrained by fund rules |
| Minimum viable size | ≈ €1m | Tens of millions |
| Liquidity | Intraday on exchange (if listed) | Usually daily or weekly NAV |
The pattern in practice: managers prove a strategy in an AMC, then migrate it into a fund once assets and track record justify the heavier structure. For investors, that means AMCs are often where specialist strategies are accessible earliest, at lower minimums than a private mandate.
Issuer risk, and how collateralisation contains it
The defining risk of any certificate is counterparty risk: if the issuer fails, holders are creditors. Two design choices determine how serious that is in practice.
Who the issuer is. A dedicated securitisation issuer that does nothing but issue collateralised instruments presents a different risk profile from a universal bank whose balance sheet carries unrelated businesses.
Whether the structure is collateralised. In collateralised AMCs, the reference portfolio's assets are held in a segregated portfolio and pledged to an independent security trustee for the benefit of certificate holders. If the issuer defaults, the pledged assets are reserved for investors rather than general creditors. This is the structure used for the instruments available through Framont Access, issued by iMaps ETI AG under a base prospectus approved by the Liechtenstein FMA.
Who does what: reading the roles correctly
AMC documentation names several parties, and the distinctions matter for diligence:
- Strategy developer: designs the underlying strategy and supplies its signals or model. Not a custodian of investor money.
- Portfolio manager: the regulated entity executing the strategy inside the wrapper. For Framont Access instruments this is Framont & Partners Management Ltd, an AIFM authorised by the MFSA in Malta.
- Issuer: creates the security and maintains the segregated portfolio.
- Market maker: quotes tradable prices on the exchange.
- Security trustee: holds the collateral pledge for investors.
A clean structure separates these roles. If one entity plays all of them with no independent trustee, the protections are weaker than the marketing may suggest.
Costs to expect
AMCs typically carry a management fee accrued daily in the certificate price, and often a performance fee calculated above a high-water mark, meaning the manager earns it only on net new highs. Some instruments add entry or exit fees. Every fee must be disclosed in the KID's cost tables, expressed both as a percentage and in money terms over the recommended holding period. Compare KIDs, not brochures.
Frequently asked questions
Is an AMC a fund?
Why choose an AMC over launching a fund?
How liquid is an AMC?
What fees does an AMC carry?
AMC products are now live on Framont Access. Explore the AMC shelf, or view the Exchange Traded Instruments, which use the same collateralised issuance structure.