Central Bank implements ESMA Guidelines and Clarifies Requirements relating to the Management Company Passport and Organisational Requirements for SMICs
Guidelines on ETFs and other UCITS issues
The European Securities and Markets Authority's Guidelines on ETFs and other UCITS issues (the "ESMA Guidelines") come into effect today, 18 February 2013. The Central Bank has implemented the ESMA Guidelines through a series of amendments to the UCITS Notices. Related amendments have been made to Guidance Note 2/07 UCITS Financial Indices and Guidance Note 3/03 UCITS Financial Derivative Instruments. Please see our earlier update for further information on the ESMA guidelines, including transitional provisions. Any new UCITS created on or after 18 February 2013 must comply with the ESMA guidelines immediately.
A copy of the amended UCITS Notices may be accessed here: Amended UCITS Notices.
Guidance Note 4/07 - Operation of the Management Company Passport
The Central Bank has amended Guidance Note 4/07 in order to clarify the requirements an Irish management company needs to fulfil in order to avail of the UCITS IV passporting provisions. The amendments will require management companies to assess how utilising a management company passport would affect the nature, scale and complexity of their business, particularly their organisational structure and resources. The Central Bank will review each management company passport proposal on a case-by-case basis to determine whether the management company is adequately resourced. The amendments are also designed to ensure that the Central Bank will have effective access to (a) records of any non-Irish administrator that the management company engages and (b) documents and information held by the trustee of a non-Irish UCITS, in order to allow the Central Bank to...