The June 23, 2016, referendum vote in Britain to leave the E.U. – commonly referred to as “Brexit” – will undoubtedly have a significant impact on a number of business sectors, including U.S. hedge and other private fund managers with U.K. affiliates. Some U.S. private fund managers, in connection with the adoption of the Alternative Investment Fund Managers Directive (AIFMD), established U.K. affiliates to take advantage of the AIFMD passport regime and market to investors in the European Economic Area. See “Passports, Platforms and Private Placement: Options for Marketing Funds in Europe in the Post-AIFMD Era” (Apr. 30, 2015). Whether such advisers will be able to continue to rely on the AIFMD and other E.U. passports will be determined over the next few years as the U.K. negotiates its exit terms from the Union. In an effort to help our subscribers understand the implications of the vote for hedge fund managers, the Hedge Fund Law Report conducted interviews with law firm partners focused on Brexit and compiled a summary and analysis of the partners’ insights, along with the client advice memoranda of leading law firms with hedge fund practices, in a two-part series. This second article addresses the options available for fund managers concerned about how they can continue to market and distribute their products in the E.U. The first article provided a detailed summary of the time frame for any potential changes resulting from the vote, as well as analysis of possible terms under which the U.K. might leave the E.U. and the distinction between a “hard” and “soft” Brexit. For additional coverage of Brexit and its impact on hedge funds, see “With Brexit Looming and New Fund Structures Available, U.S. Hedge Fund Managers Face Risks and Opportunities for Marketing in Europe” (Jun. 9, 2016).