Related provisions for CASS 7.10.6
1The table below sets out the period within which a firm's tariff base is calculated (the data period) for second year levies calculated under FEES 5.8.2R. The example is based on a firm that acquires permission on 1 November 20146and has a financial year ending 31 March. Where valuation dates fall before the firm receives permission it should use projected valuations in calculating its levies.
References in this table to dates or months are references to the latest one occurring before the start of the FCA's financial year unless otherwise stated.
6Type of permission acquired on 1 November |
Tariff base |
Valuation date but for FEES 5.8.2R |
Data period under FEES 5.8.2R |
Insurers - general |
Relevant annual gross premium income and gross technical liabilities6 |
31 March 20146- so projected valuations will be used 6 |
1 November to 31 December 20146. 6 |
Portfolio managers (including those holding client money/ assets and not holding client money/ assets) 6 |
Relevant funds under management |
Valued at 31 December |
Valued at 31 December |
Advisers,6arrangers, dealers or brokers holding and controlling client money and/or assets 6 |
Annual income as defined in FEES 4 Annex 11A6 6 |
31 December. 6 This is because the firm's tariff base is calculated by reference to the firm's financial year end in the calendar year before the start of the FCAfee year. Therefore FEES 5.8.2R (3)(c) applies. 6 6 |
1 November to 31 December but annualised in accordance with FEES 5.8.2R (3)(c)(iii)6 6 |
Table of FEES 4 rules that correspond to FEES 7 rules
FEES 4 rules |
Corresponding FEES 7 rules |
Part 1 of 6FEES 4 Annex 2A6 |
Part 1 of FEES 7 Annex 11 |
1Part 2 of FEES 4 Annex 11 |
Part 1 of FEES 7 Annex 1 |
1Part 5 of FEES 4 Annex 11 |
Part 1 of FEES 7 Annex 1 |
- (1)
In order to provide adequate information to describe how the fund6 is governed, a small authorised UK AIFM of an unauthorised AIF or a residual CIS operator6 should include in the fund6 documents a provision about each of the items of relevant information set out in the following table (Content of fund6 documents).
666 - (2)
Compliance with (1) may be relied on as tending to establish compliance with COBS 18.5.5 R.
- (3)
Contravention of (1) may be relied on as tending to establish contravention of COBS 18.5.5 R.
Table: Content of fund6 documents
Content of fund documents6
66Thefund6 documents should include provision about: 6 |
|||
(1) |
Regulator The firm statutory status in accordance with GEN 4 Annex 1 R (Statutory status disclosure); |
||
(2) |
Services the nature of the services that the firm will provide6; 6 |
||
(3) |
Payments for services details of any payment for services payable by the fund or from the property of the fund6 or investors in the fund to the firm6, including where appropriate: 66 |
||
(a) |
the basis of calculation; |
||
(b) |
how it is to be paid and collected; |
||
(c) |
how frequently it is to be paid; and |
||
(d) |
whether or not any other payment is receivable by the firm6 (or to its knowledge by any of its associates) in connection with any transactions effected by the firm6 with or for the fund6, in addition to or in lieu of any fees; 666 |
||
(4) |
Commencement when and how the firm6 is appointed; 6 |
||
(5) |
Accounting the arrangements for accounting to the fund or investors in the fund6 for any transaction effected; 6 |
||
(6) |
Termination method how the appointment of the firm6 may be terminated; 6 |
||
(7) |
Complaints procedure how to complain to the firm6 and a statement that the investors in the fund6 may subsequently complain direct to the Financial Ombudsman Service; 66 |
||
(8) |
Compensation whether or not compensation may be available from the compensation scheme should the firm6 be unable to meet its liabilities, and information about any other applicable compensation scheme; and, for each applicable compensation6 scheme, the extent and level of cover and how further information can be obtained; 6 |
||
(9) |
Investment objectives the investment objectives for the portfolio of the fund6; 6 |
||
(10) |
Restrictions |
||
(a) |
any restrictions on: |
||
(i) |
the types of investments or property which may be included in the portfolio of the fund6; 6 |
||
(ii) |
the markets on which investments or property may be acquired for the portfolio of the fund6; 6 |
||
(iii) |
the amount or value of any one investment or asset, or on the proportion of the portfolio of the fund6 which any one investment or asset or any particular kind of investment or asset may constitute; or 6 |
||
(b) |
that there are no such restrictions; |
||
(11) |
Holding fund6 assets 6 |
||
(a) |
if it is the case, that the firm6 will: 6 |
||
(i) |
hold money on behalf of the fund6 or be the custodian of investments or other property of the fund6; or 66 |
||
(ii) |
arrange for some other person to act in either capacity and, if so, whether that person is an associate of the firm6 identifying that person and describing the nature of any association; and 6 |
||
(b) |
in either case: |
||
(i) |
how any money is to be deposited; |
||
(ii) |
the arrangements for recording and separately identifying registrable investments of the fund6 and, where the registered holder is the firm's6 own nominee, that the firm6 will be responsible for the acts and omissions of that person; 666 |
||
(iii) |
the extent to which the firm6 accepts liability for any loss of the investment of the fund6; 66 |
||
(iv) |
the extent to which the firm6 or any other person mentioned in (11)(a)(ii), may hold a lien or security interest over investments of the fund6; 66 |
||
(v) |
where investments of the fund6 will be registered collectively in the same name, a statement that the entitlements of the fund6 may not be identifiable by separate certificates or other physical documents of title, and that, should the firm6 default, any shortfall in investments of the fund6 registered in that name may be shared proportionately among all fund6 and any other customers of the firm6 whose investments are so registered; 666666 |
||
(vi) |
whether or not investments or other property of the fund6 can be lent to, or deposited by way of collateral with, a third party and whether or not money can be borrowed on behalf of the fund6 against the security of those investments or property and, if so, the terms upon which they may be lent or deposited; 66 |
||
(vii) |
the arrangements for accounting to the fund6 for investments of the fund6, for income received (including any interest on money and any income earned by lending investments or other property) of the fund6, and for rights conferred in respect of investments or other property of the fund6; 666 |
||
(viii) |
the arrangements for determining the exercise of any voting rights conferred by investments of the fund6; and 6 |
||
(ix) |
where investments of the fund6 may be held by an eligible custodian outside the United Kingdom, a general statement that different settlement, legal and regulatory requirements, and different practices relating to the segregation of those investments, may apply; 6 |
||
(12) |
Clients' money outside the United Kingdom if it is the case, that the firm6 may hold the money of the fund6 in a client bank account outside the United Kingdom; 66 |
||
(13) |
Exchange rates if a liability of the fund6 in one currency is to be matched by an asset in a different currency, or if the services to be provided to the firm for the fund6 may relate to an investment denominated in a currency other than the currency in which the investments of the fund6 are valued, a warning that a movement of exchange rates may have a separate effect, unfavourable or favourable, on the gain or loss otherwise made on the investments of the fund6; 6666 |
||
(14) |
Stabilised investments if it is the case, that the firm6 is to have the right under the fund6documents to effect transactions in investments the prices of which may be the subject of stabilisation; 66 |
||
(15) |
Conflict of interest and material interest if it is the case, that the firm6 is to have the right under the agreement or instrument constituting the fund6 to effect transactions on behalf of the fund6 in which the firm6 has directly or indirectly a material interest (except for an interest arising solely from the investment of the firm6 as agent for the fund6), or a relationship of any description with another party which may involve a conflict with the firm6 duty to the fund6, together with a disclosure of the nature of the interest or relationship; 66666666 |
||
(16) |
Use of dealing commission if the firm6 receives goods or services in addition to the execution of its customer orders in accordance with the section on the use of dealing commission, the prior disclosure required by the rule on prior disclosure (see COBS 11.6.2 R); 6 |
||
(17) |
Acting as principal if it is the case, that the firm6 may act as principal in a transaction with the fund6; 66 |
||
(18) |
Stock lending if it is the case, that the firm6 may undertake stock lending activity with or for the fund6 specifying the type of assets of the fund6 to be lent, the type and value of relevant collateral from the borrower and the method and amount of payment due to the fund6 in respect of the lending; 6666 |
||
(19) |
Transactions involving contingent liability investments |
||
(a) |
if it is the case, that the agreement orinstrument constituting the fund6 allows the firm6 to effect transactions involving contingent liability investments for the account of the portfolio of the fund6; 666 |
||
(b) |
if applicable, whether there are any limits on the amount to be committed by way of margin and, if so, what those limits are; and |
||
(c) |
if applicable, that the firm6 has the authority to effect transactions involving contingent liability investments otherwise than under the rules of a recognised investment exchange and in a contract traded thereon; 68 |
||
(20) |
Periodic statements |
||
(a) |
the frequency of any periodic statement (this should not be less than once every 12 months) except where a periodic statement is not required (see COBS 18.5.13R); and |
||
(b) |
whether those statements will include some measure of performance, and, if so, what the basis of that measurement will be; |
||
(21) |
Valuation the bases on which assets comprised in the portfolio of the fund6 are to be valued; 6 |
||
(22) |
Borrowings if it is the case, that the firm6 may supplement the funds in the portfolio of the fund6 and, if it may do so: 66 |
||
(a) |
the circumstances in which the firm6 may do so; 6 |
||
(b) |
whether there are any limits on the extent to which the firm6 may do so and, if so, what those limits are; and 6 |
||
(c) |
any circumstances in which such limits may be exceeded; |
||
(23) |
Underwriting commitments if it is the case, that the firm6 may for the account of the portfolio of the fund6 underwrite or sub-underwrite any issue or offer for sale of securities, and: 66 |
||
(a) |
whether there are any restrictions on the categories of securities which may be underwritten and, if so, what these restrictions are; and |
||
(b) |
whether there are any financial limits on the extent of the underwriting and, if so, what these limits are; |
||
(24) |
Investments in other funds6 whether or not the portfolio may invest in fund either managed or advised by the firm6 or by an associate of the firm or in a fund6 which is not a regulated collective investment scheme; 666 |
||
(25) |
Investments in securities underwritten by the firm6 whether or not the portfolio may contain securities of which any issue or offer for sale was underwritten, managed or arranged by the firm6 or by an associate of the firm6 during the preceding 12 months. 666 |
- Previous page
- 1
- ..
- 3
- 4
- Next page