The following Financial Services practice note Produced in partnership with Jonathan Bayliss of Partner, Charles Russell Speechlys LLP provides comprehensive and up to date legal information covering:
An open-ended investment company (OEIC) is an investment fund in corporate form, as defined in section 236 of the Financial Services and Markets Act 2000 (FSMA 2000). OEICs aim to spread investment risk and give investors the benefit of the management of the investments.
OEICs are subject to the Open Ended Investment Company Regulations 2001 (SI 2001/1228) (OEIC Regulations), pursuant to which they are required to have a depositary (regulation 15), responsible for the safekeeping and day-to-day administration of the fund’s assets.
There is guidance provided in the Financial Conduct Authority's (FCA) handbook relating to the role of the depositary and, specifically, COLL 6.5 deals with the appointment and replacement of the depositary.
Changes to the depositary of an OEIC typically occur as a result of commercial considerations of the authorised corporate director (ACD), but may also arise out of a change in ownership of the depositary or the ACD, which causes a breach of the requirement in Regulation 15(8)(f) of OEIC Regulations that the depositary be independent from the company and its directors.
Pursuant to Regulation 26, the FCA may also apply to the court for the removal and replacement of a depositary.
Although not standard practice, the OEIC’s instrument of incorporation may contain specific provis
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
When is quantum meruit and quantum valebat relevant?Claims in quantum meruit (value of services) and quantum valebat (value of goods) arise in diverse situations ranging from where contractual terms are silent on issues of payment to where there is no contract at all (Serck v Drake & Scull).General
On the disposition of a property (whether by way of conveyance, transfer or charge), the party making the disposition will normally provide a title guarantee which implies standard form covenants for title. A landlord may give a title guarantee when granting a lease, but this is rare in practice.
This Practice Note examines:•why negative pledge clauses are used in commercial transactions •the consequences of breaching negative pledge provisions•how negative pledges are viewed in the context of security and quasi-security, and•key considerations when drafting a negative pledge clauseWhere
What is a third party debt order (TPDO)?Third party debt orders were previously known as 'garnishee' orders and operated under the regime provided for in CCR Ord 30 and RSC Ord 49 (now revoked). Although the rules in CPR 72 are new, many of the principles with which they are concerned are well
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.