465.If the conditions referred to in the section are met, the Authority may make an authorisation order declaring a unit trust scheme to be authorised. The conditions reflect certain requirements specified in the UCITS Directive which establishes a passporting regime whereby certain types of authorised collective investment scheme established in one EEA State may generally be entitled to equivalent authorisation in others. The section includes requirements that:
the manager and trustee must be bodies corporate which are independent of each other and incorporated in the United Kingdom or another EEA State;
they must be authorised persons holding the appropriate permissions;
the scheme must comply with the requirements of the trust scheme rules (referred to at section 247, below); and
participants must be able to have their units redeemed at a price related to the net asset value of the scheme property or be able to sell their units on an exchange at a similar price.