aller au menu aller au contenu

 

UCITS V

Overview

The UCITS (Undertakings for Collective Investment in Transferable Securities) Directive takes up most of the current legislative framework of UCITS IV & AIFM Directives. The new provisions focus on the fund depositary, the remuneration policy and the applicable regime for sanctions.

The UCITS Directive aims at strengthening asset protection, transparency and information to investors. 

The European Commission has adopted two regulations dated 12 July 2018, directly applicable from 1st April 2020. These regulations, published in the OJEU of 30th October 2018, amend the obligations of depositaries on the safekeeping of financial instruments held by alternative investment funds and UCITS: 

In particular, the following are specified:

  • the regime for the segregation of assets in the sub-custody chain,
  • the protection of assets in the event of the insolvency of the depositary or sub-custodian.

The ESMA consultation of 26 November 2018 on the integration of sutainability criteria into AIFM and UCITS regulations ended on 30 January 2019.

The final report following this consultation was issued on 30 April 2019:

Nota bene:

Publication in the OJEU of Directive (EU) 2019/1160 of 20 June 2019 amending Directive 2011/61/EU, which aims to remove obstacles to cross-border marketing of UCITS, supplemented by Regulation (EU) 2019/1156 of 20 June 2019.

Member States have until 2 August 2021 at the latest to adopt and publish the national provisions necessay to comply with the Directive. They must apply these provisions from 2 August 2021.

The Regulation is applicable as from 1 August 2019 but some articles (Art. 4, §1 to 5; Art. 5, §1 and 2; Art. 15 and Art. 16) are only applicable as from 2 August 2021.

The Regulation contains in particular (art 17) the provisions for postponing the updating of PRIIPS: Exemption of the KID PRIIPs for UCITS funds until 31 December 2021.

Main provisions

  • Eligibility of depositaries is limited to Credit institutions and MiFID regulated companies. The depositary has to be located in the fund domicile (no depositary passport).
  • Strong liability regime for the depositary, which is liable to the UCITS and its unit holders for the loss related to the assets held in custody, unless the depositary can prove that the loss has arisen as a result of an external event beyond its reasonable control.
  • Increased cash monitoring obligations, similar to AIFMD provisions.
  • Reinforced obligations for the selection of the depositary.
  • Transparent management companies remuneration policies (to be provided in the KIID, the prospectus and in the annual reports).
  • Harmonised European regulation for sanctions.

More information

> ESMA's "Technical Advice"

> The level 1 directive

> EU Commission's Level 2 delegated acts

> ESMA's consolidated Q&A


Information to unit-holders of ucits


Challenges & opportunities

Challenges and opportunities for AIFMs:

Depositary selection

Remuneration policy

Transparency requirements for prospectus and KIID

CACEIS helps fund managers comply with and take full advantage of the UCITS Directive

Depositary and Banking secured services in the main European fund domiciles

Prospectus and KIID outsourcing services

CACEIS's financial strength and stability backed by a solid shareholder Crédit agricole

Fund structuring and cross-border fund distribution support

Middle and Back Office Outsourcing

Execution and clearing services (FX, cash equities, listed and OTC derivatives)

Reporting services (Risk and performance measurement, Solvency II, Trade repositories, FATCA, AEOI)

 

  Contact us

 


Key dates

  • November 2012

    Présentation of the UCITS V project to the European Parliament

  • 28 August 2014

    Publication in the OJUE of the UCITS V Directive

  • 17 September 2014

    UCITS V Directive entered into force

  • 28 November 2014

    Publication of the ESMA "Technical Advice" Final

  • 17 December 2015

    The EU Commission published level 2 measures

  • 18 March 2016

    Deadline for the transposition of the Directive by the Member States

  • 13 October 2016

    Regulation Officers custodians entered into force

  • September 2017

    The Commission reasses, no later than September 18, 2017, if it necessary to harmonize the administrative sanctions

  • 20 October 2017

    ESMA publishes an opinion for the European Commission on the segregation of assets and the application to CSDs of the UCITS depository delegation rules

  • 12 March 2018

    As part of the implementation of the Capital Markets Union (CMU), the European Commission has published a proposal to amend the AIFM and UCITS Directives

  • 30 April 2019

    ESMA’s technical advice to the European Commission on integrating sustainability risks and factors in the UCITS Directive and AIFMD

    ESMA's final report
  • 20 June 2019

    Publication of Directive (EU) 2019/1160 of the European Parliament and the Council

    Directive (EU) 2019/1160
  • 20 June 2019

    Publication of Regulation (EU) 2019/1156 of the European Parliament and of the Council

    Regulation (EU) 2019/1156
  • 1 August 2019

    The Regulation is applicable but for some articles (Art. 4, § 1 to 5, Art. 5, § 1 and 2, Art. 15 and Art. 16)

  • 2 August 2021

    National provisions have to be adopted and applied as from 2 August 2021 at the latest