Paragraph 7

In section 59 (approval for particular arrangements)^f1 after subsection (7B) insert—

“(7C)

A regulator may not exercise the power in subsection (3) so as to provide for a function to be a controlled function in relation to the carrying on of the regulated activity of managing an AIF by an AIFM which—

(a)

is also an AIF;

(b)

does not manage any AIF other than itself;

(c)

is a body corporate; and

(d)

is not a collective investment scheme.”.