Part XVII Collective Investment Schemes
Chapter IV Open-ended Investment Companies
262 Open-ended investment companies.
1
The Treasury may by regulations make provision for—
a
facilitating the carrying on of collective investment by means of open-ended investment companies;
b
regulating such companies.
2
The regulations may, in particular, make provision—
a
for the incorporation and registration in Great Britain of bodies corporate;
b
for a body incorporated by virtue of the regulations to take such form as may be determined in accordance with the regulations;
c
as to the purposes for which such a body may exist, the investments which it may issue and otherwise as to its constitution;
d
as to the management and operation of such a body and the management of its property;
e
as to the powers, duties, rights and liabilities of such a body and of other persons, including—
i
the directors or sole director of such a body;
ii
its depositary (if any);
iii
its shareholders, and persons who hold the beneficial title to shares in it without holding the legal title;
iv
its auditor; and
v
any persons who act or purport to act on its behalf;
f
as to the merger of one or more such bodies and the division of such a body;
g
for the appointment and removal of an auditor for such a body;
h
as to the winding up and dissolution of such a body;
i
for such a body, or any director or depositary of such a body, to be required to comply with directions given by the Authority;
j
enabling the Authority to apply to a court for an order removing and replacing any director or depositary of such a body;
k
for the carrying out of investigations by persons appointed by the Authority or the Secretary of State;
l
corresponding to any provision made in relation to unit trust schemes by Chapter III of this Part.
3
Regulations under this section may—
a
impose criminal liability;
b
confer functions on the Authority;
c
in the case of provision made by virtue of subsection (2)(l), authorise the making of rules by the Authority;
d
confer jurisdiction on any court or on the Tribunal;
e
provide for fees to be charged by the Authority in connection with the carrying out of any of its functions under the regulations (including fees payable on a periodical basis);
f
modify, exclude or apply (with or without modifications) any primary or subordinate legislation (including any provision of, or made under, this Act);
g
make consequential amendments, repeals and revocations of any such legislation;
h
modify or exclude any rule of law.
4
The provision that may be made by virtue of subsection (3)(f) includes provision extending or adapting any power to make subordinate legislation.
5
Regulations under this section may, in particular—
a
revoke the M1Open-Ended Investment Companies (Investment Companies with Variable Capital) Regulations 1996; and
b
provide for things done under or in accordance with those regulations to be treated as if they had been done under or in accordance with regulations under this section.