The Central Bank has issued a Consultation Paper concerning the publication of a UCITS Rulebook.  The Central Bank’s aim is to consolidate into one document, all of the conditions imposed by the Central Bank on UCITS, their management companies and depositaries. The proposed UCITS Rulebook is divided into the following three chapters:

Chapter 1 – Product Requirements

Chapter 2 – Management Company Requirements

Chapter 3 – Depositary Requirements

For the most part, the draft UCITS Rulebook contains conditions which are currently applied to UCITS. However, in a small number of instances, the Central Bank is proposing to remove existing conditions. The Consultation Paper seeks views on the proposal to dispense with those conditions and on whether there are any other conditions that are no longer necessary or appropriate.

When the consultation process is complete the Central Bank will conduct a technical examination of the draft UCITS Rulebook to refine drafting. The final UCITS Rulebook will then be issued on a statutory basis.

William Fry is currently engaged in a review of the draft UCITS Rulebook with a view to contributing to the Irish Fund Industry Association’s response to the Consultation Paper. The consultation period closes on 28 March 2014.

The Consultation Paper, which includes the draft UCITS Rulebook, can be viewed here.

Contributed by Niall Crowley