Article 5 Procedure for authorising MMFs that are AIFs

United Kingdom

An AIF shall be authorised as an MMF only if the F1FCA approves the application submitted by an AIFM, that has already been F2given permission under Part 4A of FSMA to manage an MMF that is an AIF, and also approves the fund rules and the choice of the depositary.

When submitting the application for managing an MMF that is an AIF, the authorised AIFM shall provide the F3FCA with:

(a)

the written agreement with the depositary;

(b)

information on delegation arrangements regarding portfolio and risk management and administration with regard to the AIF;

(c)

information about the investment strategies, the risk profile and other characteristics of MMFs that are AIFs that the AIFM manages or intends to manage.

F4...

Any subsequent modifications of the documentation referred to in paragraph 2 shall be immediately notified to the F5FCA by the AIFM.

The F6FCA shall refuse the application of the AIFM only in the event that any of the following applies:

(a)

the AIFM does not comply with this Regulation;

(b)

the AIFM does not comply with F7UK law on alternative investment fund managers;

(c)

the AIFM is not authorised by F8the FCA to manage MMFs;

(d)

the AIFM has not provided the documentation referred to in paragraph 2.

F9...

F105.

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Within 2 months of submission of a complete application, the AIFM shall be informed whether or not authorisation of the AIF as an MMF has been granted.

The F11FCA shall not grant authorisation of an AIF as an MMF if the AIF is legally prevented from marketing its units or shares in F12the United Kingdom.

F13(8.)

For the purposes of this Article, “UK law on alternative investment fund managers” means—

(a)

the law of the United Kingdom which was relied on by the United Kingdom immediately before IP completion day to implement Directive 2011/61/EU—

(i)

in the case of rules made by the FCA under FSMA, as they have effect on IP completion day; and

(ii)

as amended from time to time, in all other cases;

(b)

EU Regulations, made under Directive 2011/61/EU, which form part of F14assimilated direct legislation, as amended from time to time; and

(c)

subordinate legislation (within the meaning of the Interpretation Act 1978) made under the Alternative Investment Fund Managers (Amendment etc.) (EU Exit) Regulations 2019 on or after IP completion day, as amended from time to time.

Annotations

Textual amendments

F1: Word in Art. 5(1) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F2: Words in Art. 5(1) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(b) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F3: Word in Art. 5(2) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F4: Words in Art. 5(2) omitted (31.12.2020) by virtue of The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(c) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F5: Word in Art. 5(3) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F6: Word in Art. 5(4) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F7: Words in Art. 5(4)(b) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(d)(i)(aa) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F8: Words in Art. 5(4)(c) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(d)(i)(bb) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F9: Words in Art. 5(4) omitted (31.12.2020) by virtue of The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(d)(ii) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F10: Art. 5(5) omitted (31.12.2020) by virtue of The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(e) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F11: Word in Art. 5(7) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F12: Words in Art. 5(7) substituted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(f) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F13: Art. 5(8) inserted (31.12.2020) by The Money Market Funds (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/394), regs. 1(3), 7(g) (as amended by S.I. 2020/1301, regs. 1, 3, Sch. para. 25(c)) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F14: Words in Art. 5(8)(b) substituted (27.2.2025) by The Retained EU Law (Revocation and Reform) Act 2023 (Consequential Amendments) Regulations 2025 (S.I. 2025/82), reg. 1(2), Sch. 9 para. 45(a)