The Friendly Societies (Insurance Business) Regulations 1993

Regulation 47

SCHEDULE 6 PERMITTED LINKS

PART I DESCRIPTIONS OF PROPERTY BY REFERENCE TO WHICH BENEFITS MAY BE DETERMINED

1.  Securities (other than traded options) listed on any recognised stock exchange specified in paragraph 16 of this Schedule.

2.  Securities of a company in which dealings on the exchange are allowed by an exchange which is a recognised investment exchange within the meaning of the Financial Services Act 1986(1) or which are dealt in on a regulated market in another member State which operates regularly and is recognised and open to the public.

3.  Securities traded on the over-the-counter market in the United States of America regulated by the National Association of Securities Dealers.

4.  Securities of the following governments: the government of Canada or of any province of Canada, the government of the United States of America or of any state of the United States of America.

5.  Land (including any interest in land) in Australia, Austria, Belgium, Canada, the Channel Islands, Denmark, the Federal Republic of Germany, Finland, France, Gibraltar, Greece, Hong Kong, Iceland, The Republic of Ireland, Italy, the Isle of Man, Liechtenstein, Luxembourg, the Netherlands, New Zealand, Norway, Portugal, the Republic of South Africa, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the United States of America.

6.  Loans—

(a) which are fully secured by mortgage or charge on land (or any interest in land) which—

(i) is situated in any of the countries specified in paragraph 5 above, and

(ii) in the case of a loan made to a person other than a body corporate, is not used wholly or mainly for domestic purposes, and

(b) of which the rate of interest and the due dates for the payment of interest and the repayment of principal can be fully ascertained from the terms of any agreement relating to the loan.

7.  Units in an authorised unit trust scheme or a recognised scheme within the meaning of section 207(1) of the Financial Services Act 1986.

8.  Loans to, shares in, and deposits with, a building society within the meaning of the Building Societies Act 1986(2).

9.  Loans to or deposits with Her Majesty’s Government in the United Kingdom or any public or local authority or nationalised industry or undertaking in the United Kingdom.

10.  Loans to, deposits with (including certificates of deposits issued by), amounts standing to the credit of any account with and bills of exchange accepted by any of the following being, in any case, in the currency of any country,

• the Bank of England;

• the National Savings Bank;

• an institution authorised or deemed to be authorised under the Banking Act 1987(3) or a European deposit-taker within the meaning of the Banking Coordination (Second Council Directive) Regulations 1992(4);

• the European Atomic Energy Community;

• the European Bank for Reconstruction and Development;

• the European Economic Community;

• the International Bank for Reconstruction and Development;

• the International Finance Corporation;

• the International Monetary Fund;

• the Inter-American Development Bank;

• the African Development Bank;

• the Asian Development Bank;

• the Caribbean Development Bank;

• the European Investment Bank.

11.  Income due or to become due in respect of property of any of the descriptions specified in the foregoing paragraphs of this Schedule.

12.  Cash.

PART II INDICES BY REFERENCE TO WHICH BENEFITS MAY BE DETERMINED

13.  The Financial Times Industrial Ordinary Stock Index.

14.  The Financial Times Actuaries Share Indices jointly compiled by the Financial Times, the Institute of Actuaries and the Faculty of Actuaries.

15.  The Financial Times-Stock Exchange 100 Share Index.

PART III

16.  In this Schedule “recognised stock exchange” means any of the following—

(a) any stock exchange in any of the countries specified below which is a stock exchange within the meaning of the law of that country relating to stock exchanges—

• Austria; Belgium; Brazil; Greece; Iceland; Republic of Ireland; Italy; Japan; Liechtenstein; Luxembourg; Mexico; Netherlands; New Zealand; Norway; Portugal; Spain; Sweden; Switzerland;

(b) the Stock Exchange; the Copenhagen Stock Exchange; the Helsinki Stock Exchange; the Johannesburg Stock Exchange; the Kuala Lumpur Stock Exchange; the Singapore Stock Exchange;

(c) any stock exchange in Australia which is a member of the Australian Associated Stock Exchanges, being a prescribed stock exchange within the meaning of Australian law relating to stock exchanges;

(d) any stock exchange prescribed for the purposes of the Canadian Income Tax Act;

(e) any stock exchange approved under the laws relating to stock exchanges in the Federal Republic of Germany;

(f) any stock exchanges set up in France in accordance with the French legislation;

(g) any stock exchange in Hong Kong which is recognised under the laws of Hong Kong;

(h) any exchange registered with the Securities and Exchange Commission of the United States as a national securities exchange.

17.  For the purposes of this Schedule the expression “traded option” does not include an option granted by the company to the securities of which the option relates, but otherwise means any traded option, whether within the meaning of regulation 19(1) above or not.

(1)

1986 c. 60.

(2)

1986 c. 53.

(3)

1987 c. 22.

(4)

S.I. 1992/3218.