Setting Up a UCITS in Europe, Evolution of UCITS Regulation and the Place of UCITS in Asia

European based Undertakings for Collective Investment in Transferable Securities (“UCITS”) are recognised worldwide as funds offering a high level of protection to investors and the possibility for cross-border marketability not only in the European Union but also in many other countries in Asia, the Middle East and South America.

In this context, asset managers domiciled in Asia such as the People’s Republic of China (“PRC”), Hong Kong, Japan, Korea, Singapore or Taiwan have set up UCITS to expand their marketing to investors in Europe, Asia, the Middle East and South America.

The objective of this training is to provide the attendees with a detailed analysis on key sections of the UCITS regulation that are specifically relevant to non-EU based managers and provide expert insight on the practical implications of the UCITS regulation to managers which are willing to distribute their products in the EU, based on the UCITS passport.

Other aspects covered by the trainers will include, the evolution of UCITS rules in particular under UCITS V, which will include the depository regime and remuneration rules as well as a number of Level 2 regulation issued by the European Securities and Markets Authority (“ESMA”) in relation thereto.

Various models used to manage the challenges under UCITS rules are going to be reviewed including possibilities under Luxembourg law.

Detailed Information

Highlights of the course include:

  • The Global Fund Industry and UCITS
    • The global fund industry and the European fund industry
    • The origins of UCITS
    • Evolution of UCITS rules over the years, UCITS I, UCITS III, UCITS IV and UCITS V
    • Distribution of UCITS in Europe and worldwide
    • Benefits of operating a UCITS, brand recognition and marketability
    • Constraints to consider when setting up a UCITS
    • Investment restrictions and risk diversification requirements
    • Latest European and ESMA regulatory developments
  • Setting up a UCITS in practice, distribution process
    • Choice of the most suitable model and vehicle
    • Third party management company versus self-managed model
    • Selection and appointment of service providers
    • Regulatory approval process
    • UCITS regulation on an ongoing basis
    • Notification procedure for the distribution in Europe
    • Overview regarding the marketability in Hong Kong, Taiwan, Singapore, Japan and Korea
  • UCITS V Directive in practice
    • Duties and responsibilities of the depositary bank
    • Remuneration policy
    • Sanction regime
    • Amendment of fund documentation and transition period
  • Other relevant issues
    • QFII, R-QFII and Stock Connect in UCITS
    • The Luxembourg R-QFII model
    • Other product developments
    • Distribution in the PRC
    • UCITS and the Mutual Fund Recognition (“MFR”) program
  • Conclusion and Questions

Registration Conditions

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