AIFMs are, however, required to set a maximum level of leverage which they may employ on behalf of each AIF they manage as well as the extent of the right to reuse collateral or guarantee that could be granted under the leveraging arrangement. Material tax issues may arise depending on the specific circumstances and considerations that may be applicable in specific scenarios and propositions. Should the investor wish to declare such income, then such Maltese resident may opt to receive the income in gross and thus would declare the capital gain made in the tax return. With new legislation on reinsurance special purpose vehicles, Malta is positioning itself to tap new markets. An investment fund that does not fall within these criteria may apply to be classified as a non-prescribed fund. In the case of funds set up as limited partnerships, general partners are jointly and severally liable for all debts of the limited partnership without limitation, whilst limited partners are not liable...