What is a UCITS ICAV?

What is a UCITS ICAV?

The ICAV is a new form of collective investment vehicle for UCITS funds and Alternative Investment Funds (AIFs). Like an investment company, an ICAV is a corporate entity that is governed by a board of directors and owned by shareholders.

What is UCITS 5?

UCITS V aims to increase the level of protection already offered to investors in UCITS and to improve investor confidence in UCITS. It aims to do so by enhancing the rules on the responsibilities of depositaries and by introducing remuneration policy requirements for UCITS fund managers.

What UCITS means?

Undertakings for Collective Investment in Transferable Securities
UCITS (Undertakings for Collective Investment in Transferable Securities). Defined as organizations, whose sole purpose is to collectively invest – in securities and other financial assets – capital raised by the public and which operate under the principle of risk management.

Is a unit trust a UCIT?

A unit trust may be authorised as a UCITS (in which case they must be open-ended). A unit trust may be authorised as an Alternative Investment Fund (AIF) under the Unit Trusts Act 1990 in one of two categories: A Retail Investor AIF (RIAIF) which may be marketed to retail investors.

Is an ICAV a limited company?

Ireland has been promising for some time to introduce a new type of corporate fund structure known as an “ICAV” which will not be required to be incorporated under the Irish Companies Acts and will not be a public limited company (“plc”).

Is ICAV a mutual fund?

As a bespoke corporate investment fund vehicle, a fund established as an ICAV has the advantage that it is not impacted by amendments to certain pieces of European and domestic company legislation that are targeted at trading companies rather than investment funds.

Can a UCITS invest in gold?

Under current legislation Gold is not an eligible asset for a UCITS Fund.

Are all UCITS ETFs?

Be aware that not every ETF is a UCITS ETF either. ETFs issued outside of the EU (think Switzerland, Sweden or the US) may not comply, in which case they’ll be missing the magic acronym from their name.

Can an ETF be a UCIT?

UCITS is a set of voluntary rules which many ETFs follow. ETFs which are UCITS compliant must follow minimum standards – that includes holding a diversified portfolio, publishing clear guidance on their charges and taking steps to safeguard investors’ money.

What is an ICAV Ireland?

What is an ICAV? The ICAV is a new corporate vehicle designed for Irish investment funds. It sits alongside the investment company, which has been the most successful and popular of the existing Irish collective investment fund vehicles to date.

Are sub funds legal entities?

There are numerous types of funds and sub-funds, all of which can be considered a legal entity. So, in theory if you have an umbrella structured fund with many sub-funds (segregated or non-segregated) they would require LEIs each, not just the parent entity.

What are Primo UCITS platform ICAV?

PRIMO UCITS PLATFORM ICAV (An Irish collective asset-management vehicle with variable capital constituted as an umbrella fund with segregated liability between sub-funds pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011 (as amended))

What is an ICAV and how does it work?

Like an investment company, an ICAV is a corporate entity that is governed by a board of directors and owned by shareholders. ICAVs are regulated funds and, therefore, have ICAV needs an authorisation to carry on business either as an AIF or as a UCITS.

Is the ICAV authorised by the Central Bank?

AUTHORISATION BY THE CENTRAL BANK The ICAV is authorised by the Central Bank as a UCITS within the meaning of the Regulations. The authorisation of the ICAV as a UCITS by the Central Bank is not an endorsement or guarantee of the ICAV by the Central Bank nor is the Central Bank responsible for the contents of this Prospectus.

How many directors does the ICAV need to have?

Subject to the outcome of the Central Bank of Ireland’s Consultation Paper 86, the ICAV will be required to have at least 2 Irish resident directors.