Document background
The Investment Framework Agreement is designed for situations where parties intend to establish a long-term investment relationship under German law. It serves as a master agreement that governs multiple future investments, setting out the fundamental terms, conditions, and processes for making and managing investments. This document is particularly relevant when institutional investors, fund managers, or investment companies plan to make multiple investments over time and need a structured framework that complies with German investment regulations, including the Kapitalanlagegesetzbuch (KAGB) and other relevant financial services laws. The agreement typically includes comprehensive provisions for investment criteria, due diligence requirements, governance structures, reporting obligations, and regulatory compliance mechanisms. It is designed to provide flexibility while maintaining clear parameters for investment activities, making it suitable for various investment strategies and asset classes while ensuring compliance with German and EU regulatory requirements.
