Transitional Provisions and Schedules

Part

CIS Collective Investment Schemes

Chapter

Transitional Provisions and Schedules

Printed on: 08/12/2024

Rulebook at: 01/01/2007

Transitional Provisions and Schedules

CIS TP 1

Transitional Provisions

CIS Sch 1.1

Transitional Provisions

(1)

(2)

(3)

(4)

(5)

(6)

Material to which the transitional provision applies

Transitional provision

Transitional provision: dates in force

Handbook provision: coming into force

CIS

Expired

CIS 2

Expired

CIS

Expired

CIS 2

Expired

CIS 11.4.4 R

No revision of an instrument constituting the scheme required solely as a result, or as a direct consequence, of the application of the rules in CIS requires any resolution of the holders.

Commencement

CIS 2.2.2 R (6)

Expired

CIS 5.2.10 R (2)

Expired

CIS 5.4.4R (5)

Expired

CIS 9.2.7 G

Expired

CIS 10.3 and CIS 10.4

Expired

CIS

Expired

CIS 3.5.2 R(18)

Expired

CIS 7.3.3 R (2)
CIS 7.3.3 R (3)
CIS 7.8.3 R (4)

The retention period of 6 years does not apply to records that, as at 1 August 2002, had not been retained.

From 1 August 2002 until 31 July 2008

1 August 2002

13A

CIS 3.5.2 R(19)

Expired

CIS 3.2.2 R (3) and CIS 3.5.2 R (10-14) and CIS 5 and CIS 10.4.2 R (16)

(1) A UCITS scheme for which there was an authorisation order in force on or prior to 13 February 2002 may continue to operate under the rules in CIS generally (excepting those to which this provision applies) until 12 February 2007. After that date it must have revised its structure and relevant prospectus and report and accounts in accordance with the rules to which this provision applies and disregard the rules in CIS 5A . All the other rules in CIS will then apply.

from 1/11/02 until 12/02/07

1/11/02

(2) Expired

A UCITS scheme may convert at any time within the limits in Transitional provision 14 (1) and 14 (2) as appropriate to operate under the investment rules in CIS 5 , but having done so it may not revert to operating under the rules in CIS 5A . On conversion all the rules in CIS save CIS 5A will then apply to a converted scheme

from 1/11/02 until 12/02/07

1/11/02

CIS 2.2.6 R (2)(a)(i) , CIS 2.2.6 R (2)(a)(ii) , CIS 2.2.6 R (2)(a)(iii) , CIS 2.2.6 R (2)(a)(iv) and CIS 3.5.2 R (2)(3)

In relation to an authorised fund (which is a securities scheme , warrant scheme , money market scheme , futures and options scheme , fund of funds scheme or an umbrella scheme) in existence the day before 1 November 2002 where this scheme will fall within the newUCITS scheme type within CIS 5 the category of the scheme as stated in the instrument constituting the scheme will be deemed amended to the newscheme type until any subsequent revision of such documentation.

from 1/11/02 until date of revision

1/11/02

CIS 2.2.2 R
CIS 2.2.6 R
CIS 2.2.7 G

A scheme which has an authorisation order in force before 12 February 2004, which is to switch from operating under CIS 5A to CIS 5 and whose instrument constituting the scheme refers to the efficient portfolio management rule in CIS 5A.13 (either generally or specifically), may deem the rules in CIS 5A.13 to continue to apply until the instrument constituting the scheme is amended for any other reason.

from 1/11/02 until date of revision

1/11/02

CIS 5A.13

An authorised fund manager may use efficient portfolio management techniques in relation to a scheme provided that this use of derivatives is disclosed in the most recently published prospectus.

from 1/11/02 until revoked by the FSA.

CIS 3.4.2 R (2)(d) and CIS 3.5.2 R (13)(2), (3)

The requirement to state maximum remuneration in the prospectus does not apply until the prospectus is first amended following 1 November 2002. The insertion of this maximum level of remuneration in the prospectus for the first time will not require a resolution of holders.

1/11/02

CIS 16.5.1 R (4) to CIS 16.5.1 R (6)

A UCITS management company may not carry on any of the activities specified in CIS 16.5.1 R (4) to CIS 16.5.1 R (6) unless it is a UCITS investment firm:
(a) whose permission to carry on any such activity was given before 13 February 2004; or
(b) which complies with the relevant provisions of the Prudential sourcebook for banks, building societies and investment firms.

From 13 February 2004 to 12 February 2007

13 February 2004

CIS 16.5.1 R (4) to CIS 16.5.1 R (6)

A UCITS investment firm will not be able to act as such and exercise an EEA right under the UCITS Directive unless it complies with the Prudential sourcebook for UCITS Firms until 31 December 2006 and BIPRU from the 1st January 2007.

CIS 7.6.1 R (2) , CIS 7.6.1 R (4) and CIS 7.6.1 R (5)
CIS 7.10.4 R (1) , CIS 7.10.4 R (5) and CIS 7.10.4 R (6)

(1) Subject to (2), in relation to a UCITS management company which became authorised before 13 February 2004, CIS 7.6.1 R (2) , CIS 7.6.1 R (4) and CIS 7.6.1 R (5) and CIS 7.10.4 R (1) , CIS 7.10.4 R (5) and CIS 7.10.4 R (6) have effect as they applied before 12 February 2004.
(2) Paragraph (1) does not apply in relation to any UK firm which exercises an EEA right under the UCITS Directive

From 13 February 2004 to 12 February 2007

13 February 2004

CIS 10.1.4 G (2) , CIS 10.3.3 R (1)(a) , CIS 10.3.4 R (1)(a) , CIS 10.3.6 R (3), CIS 10.4.8 R (1), and CIS 10.4.9 R (2)(a)

Expired

01/01/2007

CIS Sch 1

Record keeping requirements

01/12/2004

CIS Sch 2.1

Handbook reference

Subject of record

Contents of record

When record must be made

Retention period

CIS 6.3.1 R

Instruments of Transfer

Full Details

From registration

6 years

CIS 7.3.3 R (1) and CIS 7.3.3 R (2)

General record-keeping obligations (ACD)

Such as to demonstrate compliance with the rules in CIS

As implicit from the rules in CIS

CIS 7.3.3 R (3)

Dilution record-keeping obligations (ACD)

How the ACD calculates and estimates dilution and its policy and method for determining the amount of any dilution levy or dilution adjustment.

As implicit from the rules in CIS

6 years

CIS 7.8.3 R (1), CIS 7.8.3 R (2) and CIS 7.8.3 R (3)

General record-keeping obligations (manager)

Such as to demonstrate compliance with the rules in CIS

As implicit from the rules in CIS

As implicit from the rules in CIS.
6 years for units.

CIS 7.8.3 R (4)

Dilution record-keeping obligations (manager)

How the manager calculates and estimates dilution and its policy and method for determining the amount of any dilution levy or dilution adjustment.

As implicit from the rules in CIS

6 years

01/08/2002

CIS Sch 2

Notification requirements

01/12/2004

CIS Sch 2.1

This schedule sets out the notification requirements detailed in CIS in respect only of notifications to be provided to the FSA.

01/04/2004

CIS Sch 2.2

Handbook reference

Matter to be notified

Contents of notification

Trigger event

Time allowed

CIS 1.1.1A R

Election to comply with COLL

Details and date of occurrence

When election takes effect

Before election takes effect

CIS 3.2.2 R

Prospectus

Copy provided

Marketing scheme

Before marketing begins

CIS 5.2.26 R (2)

Risk management process and any material alteration to it

Methods of estimating risk, types of derivative their underlying risk and any quantitative limits

Application for authorisation as a scheme complying with CIS 5 or any subsequent proposed material alteration to the risk management process

Up until authorisation to comply with CIS 5 or introduction of the alteration to the process, as appropriate

CIS 7.2.1 R (3)

Change to directors details or controller of ACD

Details

Immediately after the event

Immediate

CIS 7.3.4 R

Capital of ICVC

Details if capital falls below minimum or greater than maximum

Occurrence

Immediate

CIS 7.4.3 R (1)

Mismanagement of ICVC

Details

Occurrence

Immediate

CIS 7.4.3.R (4)

Perceived mismanagement of ICVC

Details

Where an investigation by the depositary takes over 90 days

Immediate

CIS 7.9.3 R (1)

Mismanagement of unit trust

Details

Occurrence

Immediate

CIS 7.9.3 R (2)

Perceived mismanagement of unit trust

Details

Where an investigation by the trustee takes over 90 days

Immediate

CIS 10.5.2 R (6)

Annual and Half yearly reports

Copies

End of annual or half-yearly accounting period

Publication

CIS 11.5.1 G

Scheme of Arrangement

Details

Proposal that the scheme will be involved in a scheme of arrangement

One month before proposed change.

CIS 12.5.5 R

ICVC with only one sub-fund

Action to rectify situation

Umbrella has only one sub-fund

24 months

CIS 13.1.3 R

Suspension of dealing

Details including reason for suspension

Occurrence

Immediate

CIS 14.2.4 R (5)

Winding up a solvent ICVC

Solvency statement

Winding up a solvent ICVC

Within 21 days of notice given under regulation 20 of OEIC regulations

CIS 14.2.6 R (8)

Winding up a solvent ICVC

Completion of winding up

Winding up a solvent ICVC

As soon as reasonably practical after winding up completed.

CIS 14.2.7 R (6)

Winding up a solvent ICVC

Final accounts

End of final accounting period

Two months

CIS 14.3.4 R (5)

Winding up a solvent ICVC sub-fund

Solvency statement

Winding up a solvent ICVC sub-fund

Within 21 days of notice given under regulation 20 of OEIC regulations

CIS 14.3.7 R (5)

Winding up a solvent ICVC sub-fund

Termination account and auditor's report

Termination of sub-fund

Two months

CIS 14.4.3 R (5)

Winding up of an AUT

Completion of winding up

Winding up of an AUT

Immediate

CIS 16.1.4 G

Application for authorisation of an ICVC

Details

Intention to operate an ICVC

Six months before launch (service standard 6 weeks)

CIS 16.1.6 G

Application for authorisation of a unit trust

Details

Intention to manage a unit trust

Six months before launch (service standards 6 weeks)

CIS 16.1.8 G

Notification of scheme constituted in an EEA State to market in the UK

Details

Wish to market scheme in UK

May market two months after appropriate notification

CIS 16.1.9 G

Notification of a scheme constituted in a designated territory

Details

Intention to market scheme in UK

On approval or no later than two months following notification

CIS 16.1.10 G

Notification of a scheme

Details

Intention to market scheme in the UK

On approval which may take 6 months.

CIS 16.1.11 G

Change to ICVC

Details

Intention to change scheme

One month before change

CIS 16.1.12 G

Change to AUT

Details

Intention to change scheme

One month before change

CIS 16.4.1 R

Change to ICVC

Details

Change to scheme

14 days

App CIS G 3 (2) - (4)

Box management Errors

Details

Errors in box management

Immediate

01/04/2004

CIS Sch 3

Fees and other required payments

01/12/2004

CIS Sch 3.1

The provisions in relation to collective investment scheme fees are set out in FEES 1, 2, 3 and 4

01/01/2006

CIS Sch 3.2

The provisions in relation to collective investment scheme fees are set out in FEES 1, 2, 3 and 4

01/01/2006

CIS Sch 4

Powers Exercised

01/12/2004

CIS Sch 4.1

The following powers and related provisions in or under the Act have been exercised by the FSA to make the rules in CIS:

Section 138 (General rule-making power)

Section 140 (Restriction on managers of authorised unit trust schemes)

Section 156 (General supplementary powers)

Section 247 (trust scheme rules)

Section 248 (Scheme particulars rules)

Section 278 (Rules as to scheme particulars)

Section 283 (Facilities and information in UK)

Section 340 (appointment)

Paragraph 17(1) of Schedule 1 (fees)

10.

Regulation 6 (FSA rules) of the OEIC regulations

The Following powers in the Act have been exercised by the FSA to give the guidance in CIS

11.

Section 157(1) (Guidance)

The Following powers in the Act have been exercised by the FSA in CIS to specify and direct:

12.

Section 270(6)(b)

13.

Section 274(2), (4) and (5)

03/09/2001

CIS Sch 5

Rights of action for damages

01/12/2004

CIS Sch 5.1

The table below sets out the rules in CIS contravention of which by an authorised person may be actionable under section 150 of the Act (Actions for damages) by a person who suffers loss as a result of the contravention.

01/12/2004

CIS Sch 5.2

If a "Yes" appears in the column headed "For private person?", the rule may be actionable by a "private person" under section 150 unless a "Yes" appears in the column headed "Removed?". A "Yes" in the column headed "Removed?" indicates that the FSA has removed the right of action under section 150(2) of the Act. If so, a reference to the rule in which it is removed is also given.

01/12/2004

CIS Sch 5.3

In accordance with The Financial Services and MarketsAct 2000 (Rights of Action) Regulations 2001 (SI 2001/2256), a "private person" is:

(1)

any individual, except when acting in the course of carrying on a regulated activity; and

(2)

any person who is not an individual, except when acting in the course of carrying on business of any kind;

01/12/2004

CIS Sch 5.4

but does not include a government, a local authority or an international organisation.

01/12/2004

CIS Sch 5.5

The column headed "For other person?" indicates whether the rule is actionable by a person other than a private person, in accordance with those Regulations. If so, an indication of the type of person by whom the rule is actionable is given.

01/12/2004

CIS Sch 5.6

Right of action under section 150

Chapter/Appendix

Section/Annex

Paragraph

For private person?

Removed?

For other person?

All rules in CIS

Yes

01/12/2004

CIS Sch 6

Rules that can be waived

01/12/2004

CIS Sch 6.1

The FSA may waive any rule in CIS in relation to AUTs under section 250 of the Act (Modification or waiver of rules), except CIS 2.3.3 R and CIS 16.5.1 R.

The FSA may waive any rule in CIS in relation to ICVCs under section 250 of the Act (Modification or waiver of rules), except CIS 2.3.3 R.

Although the FSA has the formal power of waiver under the Act in relation to these rules, much of CIS is designed to ensure that relevant authorised funds comply with the conditions in the UCITS Directive. Accordingly, it is most unlikely that in practice UCITS Directive derived rules in CIS would be waived.

01/01/2006