COLL 1.1 Applications and purpose

1. (1)

   This sourcebook, except for COLL 9 (Recognised schemes), applies to:

   1. (a)

      investment companies with variable capital (ICVCs);

   2. (b)

      ACDs, other directors and depositaries of ICVCs;

      3
   3. (c)

      managers and trustees of authorised unit trust schemes (AUTs); 3

      4
   4. (cA)

      authorised fund managers, depositaries and nominated partners of authorised contractual schemes (ACSs); and4

   5. (d)

      to the extent indicated, UK UCITS management companies operating EEA UCITS schemes.3

2. (2)

   COLL 9 applies to operators of schemes that are recognised schemes and to those seeking to secure recognised status for such schemes.

3. (3)

   COLL 11.5 (Auditors) also applies to auditors of master UCITS and feeder UCITS which are UCITS schemes.3

4. (4)

   This sourcebook also applies to EEA UCITS management companies of UCITS schemes to the extent required by the UCITS Directive.3

3An EEA UCITS management company that is providing collective portfolio management services for a UCITS scheme from a branch in the United Kingdom, or under the freedom to provide cross border services, is advised that where it operates a UCITS scheme as its designated management company, it meets the Glossary definition of an "ACD" of an ICVC or a "manager" of an AUT or an authorised contractual scheme manager of an ACS,4 which in either case is a UCITS scheme. Such firms should be aware that provisions in this sourcebook that apply to an ACD,4 a manager or an authorised fund manager4 of a UCITS scheme accordingly apply to them, unless otherwise indicated: see COLL 12.3 (EEA UCITS management companies) for further details.

1. (1)

   The general purpose of this sourcebook is to contribute to the FCA meeting its statutory objectives of the protection of consumers. It provides a regime of product regulation for authorised funds, which sets appropriate standards of protection for investors by specifying a number of features of those products and how they are to be operated.

2. (2)

   In addition, this sourcebook implements part of the requirements of the UCITS Directive to meet EU law 2 obligations relevant to authorised funds and management companies,3 with other requirements implemented in other parts of the Handbook.

   2

3COLL 12 provides for the application of COLL in relation to the management company passport under the UCITS Directive. It explains how the passporting regime applies to both UK UCITS management companies and EEA UCITS management companies when providing collective portfolio management services on a cross-border basis. It also explains how the product passport (for UCITS) operates and how UCITS schemes may be marketed in other EEA States.

The Collective Investment Schemes Information Guide COLLG provides some general background material on the regulatory structure surrounding scheme regulation in the UK.