Expiry of transitional period for updated prospectuses for UK UCITS

Under the UCITS V Directive, as implemented in the UK, a number of requirements relating to remuneration and depositaries were introduced for UK UCITS. In addition, certain disclosure requirements were introduced which must be included in the prospectus of a UK UCITS.

The FCA determined that a transitional period up to 30 September 2016 would apply in relation to the inclusion of the disclosures on UCITS V requirements in a prospectus for a UK UCITS. The relevant FCA policy statement is available here.

By 30 September 2016, prospectuses of UK UCITS will, then, need to be updated with the relevant disclosures required by UCITS V including, but not limited to, the following:

• disclosure of the terms of the amended depositary agreement, such as updated provisions relating to liability and the ability to delegate and the responsibilities which relate to delegation by a depositary
• disclosure of conflicts of interest relating to the depositary
• disclosure of the sub-custodian network, including a description of any safe-keeping functions delegated by the depositary and a list of all delegates and sub-delegates, and
• details of the remuneration policy, or a summary of that policy and a statement that the details of that policy are available on a specified website and that a paper copy will be made available free of charge upon request.

If you have any questions or would like any assistance, please contact Neil Simmonds, Mahrie Webb or your usual Simmons & Simmons contact.