Part XVII Collective Investment Schemes
Chapter III Authorised Unit Trust Schemes
Powers of intervention
F1258AF1Winding up or merger of master UCITS
1
Subsection (2) applies if a master UCITS which has one or more feeder UCITS which are authorised unit trust schemes is wound up, whether as a result of a direction given by the Authority under section 257, an order of the court under section 258, rules made by the Authority or otherwise.
2
The Authority must direct the manager and trustee of any authorised unit trust scheme which is a feeder UCITS of the master UCITS to wind up the feeder UCITS unless—
a
the Authority approves under section 283A the investment by the feeder UCITS of at least 85% of the total property which is subject to the collective investment scheme constituted by the feeder UCITS in units of another UCITS or master UCITS; or
b
the Authority approves under section 252A an amendment of the trust deed of the feeder UCITS which would enable it to convert into a UCITS which is not a feeder UCITS.
3
Subsection (4) applies if a master UCITS which has one or more feeder UCITS which are authorised unit trust schemes—
a
merges with another UCITS, or
b
is divided into two or more UCITS.
4
The Authority must direct the manager and trustee of any authorised unit trust scheme which is a feeder UCITS of the master UCITS to wind up the scheme unless—
a
the Authority approves under section 283A the investment by the scheme of at least 85% of the total property which is subject to the collective investment scheme constituted by the feeder UCITS in the units of—
i
the master UCITS which results from the merger;
ii
one of the UCITS resulting from the division; or
iii
another UCITS or master UCITS;
b
the Authority approves under section 252A an amendment of the trust deed of the scheme which would enable it to convert into a UCITS which is not a feeder UCITS.