The European Securities and Markets Authority (ESMA) has published an updated questions and answers document (Q&A) on the application of the Undertakings for the Collective Investment in Transferable Securities Directive (UCITS). The Q&A includes a new question and answer on UCITS investment in UCITS feeder funds.
The purpose of the Q&A document is to promote common supervisory approaches and practices in the application of the UCITS and its implementing measures. It does this by providing responses to questions posed by the general public and competent authorities in relation to the practical application of the UCITS framework.
The content of this document is aimed at competent authorities under UCITS to ensure that in their supervisory activities their actions are converging along the lines of the responses adopted by ESMA. However, the answers are also intended to help UCITS management companies by providing clarity as to the content of the UCITS Directive rules, rather than cre- ating an extra layer of requirements.
The ESMA statement and the full Q&A can be found here.