Regulation 8 Beneficial interests in collective investment schemes (substitution for regulation concerning unit trusts)

For regulation 52 of the 1994 Regulations (unit trusts), substitute—

“Beneficial interests in collective investment schemes

52

The value of any holding of units, or other beneficial interest, in a collective investment scheme shall be, in the case of—

(a)

a scheme falling within Council Directive 85/611/EEC of 20 December 1985^f1 on the co-ordination of laws, regulations and administrative provisions relating to undertakings for collective investments in transferable securities;

(b)

an authorised unit trust scheme or a recognised scheme within the meaning of the Financial Services Act 1986 (not falling within sub-paragraph (a) above); or

(c)

any other collective investment scheme where—

(i)

the scheme does not employ derivative contracts unless they are contracts to which regulation 55 below applies; and

(ii)

the scheme does not employ contracts or assets having the effect of derivative contracts unless they have the effect of derivative contracts to which regulation 55 below applies; and

(iii)

the property of the scheme does not include assets other than those for the valuation of which provision is made in this Part of these Regulations; and

(iv)

the issuer could have been required to purchase the units or other beneficial interest not more than one month before the relevant date,

the price at which the issuer would have purchased the holding of units or other beneficial interest on the relevant date or the most recent date before the relevant date on which it could have been required to make such a purchase.”