Although U.S. managers may ostensibly market private funds into the E.U. under the national private placement regimes of the member states, it is difficult, if not impossible, to do so in many jurisdictions. Managers that wish to market freely across the E.U. have little choice but to establish an E.U.-based fund and manager in order to take advantage of the marketing passport available under the Alternative Investment Fund Managers Directive (AIFMD). A recent Carne Group seminar offered an overview of establishing and marketing private funds in the E.U. under AIFMD. The program featured Ajay Pathak and Glynn Barwick, partner and counsel, respectively, at Goodwin Procter; Edwin Chan, senior vice president at Northern Trust; and Aymeric Lechartier, managing director at Carne Group. This article, the first in a two-part series, analyzes the key provisions of AIFMD. The second article will compare Ireland and Luxembourg as private fund venues; outline the costs and logistics of establishing an E.U. fund; address whether to hire a third-party E.U. fund manager; and review the current state of private placements and reverse solicitation in the E.U. See “KPMG Reports on AIFMD’s Efficacy Five Years After Implementation” (May 30, 2019).