Reset to Today

To access the FCA Handbook Archive choose a date between 1 January 2001 and 31 December 2004.

Content Options:

Add to favourites

View Options:

More Resources:

External link Handbook Publications

You are viewing the version of the document as on 2025-12-01.

Timeline guidance

Alternative versions

  4. Point in time
    2025-12-01

FUND 3.5 Investment in securitisation positions

FUND 3.5.1G

[deleted]1

FUND 3.5.2G

[deleted]1

FUND 3.5.3G

[deleted]1

Application

FUND 3.5.4R

1This section applies to a full-scope UK AIFM of:

  1. (1)

    a UK AIF; and2

  2. (2)

    a non-UK AIF.2

  3. (3)

    [deleted]2

Corrective action

FUND 3.5.5R

1Where an AIFM is exposed to a securitisation that does not meet the requirements provided for in SECN and, where applicable, the Securitisation Part of the PRA Rulebook3, it must, in the best interests of the investors in the relevant AIFs, act and take corrective action, if appropriate.

[Note: Article3 17 of AIFMD]

FUND 3.5.6G

FUND 3.5.4R and 3.5.5R originally implemented Article 17 of AIFMD, which is now replaced by provisions set out in SECN and the Securitisation Part of the PRA Rulebook. The due diligence provisions that AIFMs must comply with are set out in SECN 4, but transitional provisions may apply depending on when the securitisation was issued (see FUND 3.5.8G and FUND 3.5.9G).3

122
FUND 3.5.7G

[deleted]3

1
FUND 3.5.8G

The transitional provisions that apply in relation to certain securitisations issued before 1 January 2019 are set out in SECN 14.2.1R and SECN 14.2.2R3. Where the transitional provisions apply, they have the effect that article 51 of the AIFMD level 2 regulation, concerning requirements for retained interest, and the due-diligence requirements provided for in Section 5 of that regulation, may continue to apply to eligible securitisations, instead of SECN 43.

1
FUND 3.5.9G

3The transitional provisions that apply in relation to certain securitisations issued between 1 January 2019 and 31 October 2024 are set out in SECN 14.3.1R. Article 5 (Due-diligence requirements for institutional investors) of the Securitisation Regulation continues to apply to these securitisations in combination with FUND 3.5.4R and FUND 3.5.5R.