Investment Services Act (UCITS Management Company Passport)

Suppliment tal-Gazzetta tal-Gvern ta’ Malta Nru. 20,269, 24 ta’ Settembru, 2019

Taqsima B

L.N. 242 of 2019

INVESTMENT SERVICES ACT

(CAP. 370)

Investment Services Act (UCITS Management Company Passport)

(Amendment) Regulations, 2019

IN EXERCISE of the powers conferred by article 12 of the

Investment Services Act, the Minister responsible for the regulation of

Financial Services, acting on the advice of the Malta Financial

Services Authority, has made the following regulations:-

(1) The title of these regulations is the Investment Citation and

Services Act (UCITS Management Company Passport (Amendment) commencement.

Regulations, 2019 and they shall be read and construed as one with the

Investment Services Act (UCITS Management Company Passport)

Regulations, hereinafter referred as "the principal regulations".

(2) These regulations, with the exception of regulation 2, and

of regulation 17(4) in regulation 3, shall enter into force on such date

as the Minister may by notice in the Gazette establish.

Sub-regulation (1) of regulation 2 of the principal Amends

regulation 2 of

regulations shall be amended as follows

the principal

regulations.

(a) immediately after the definition "Maltese UCITS",

there shall be added the following new definition

" "no-deal Brexit date" means the date on which the

United Kingdom leaves the European Union without a

withdrawal deal;"; and

(b) immediately after the definition "UCITS home

Member State or EEA State", there shall be added the following

new definitions

" "UK UCITS management companies" means

management companies as defined in article 2 of the

UCITS Directive that are authorised by the respective

regulatory authorities of the United Kingdom within the

meaning of Article 5 of UCITS Directive, that are

exercising a European right to provide services in Malta on

a cross border basis, but shall exclude the European right to

establish a branch in Malta;

"United Kingdom" means the territories of England,

Scotland, Wales, Northern Ireland and, for the purposes of

these regulations, shall also include Gibraltar.".

Immediately after regulation 16 of the principal

regulations, there shall be added the following new regulation as

"TEMPORARY PERMISSION REGIME FOR UK

UCITS MANAGEMENT COMPANIES

PASSPORTING INTO MALTA

(1) Subject to the provisions of these

permission granted

regulations and provided the conditions stipulated in

this regulation are satisfied, the competent authority

shall grant a temporary permission to UK UCITS

management companies, allowing them to continue

servicing existing contracts with existing clients. Such

management companies shall for the purposes of these

regulations continue to be treated as European

management companies providing services in Malta.

(2) In order to avail themselves of the

temporary permission regime provided for in this

regulation, UK UCITS management companies must

already be exercising a European right to provide

services in Malta on a cross-border basis under these

Regulations, prior to the no-deal Brexit date.

(3) UK UCITS management companies which

have been granted a temporary permission under this

regulation shall only be permitted to service those

contracts with clients that were entered into by not later

than 30 September 2019.

(4) UK UCITS management companies wishing

to avail themselves of the temporary permission regime

are required to notify the competent authority on the

appropriate form issued by the said competent

authority, stating their intention to benefit from this

regime. This form shall be submitted to the competent

authority by not later than three weeks from the no-deal

Brexit date.

(5) (a) The temporary permission granted

under the temporary permission regime shall be valid

until the 31 March 2020.

(b) UK UCITS management companies

shall, until the 31 March 2020, be exempt from

the provisions of article 3 of the Act provided that

those UK UCITS management companies are in

possession of a temporary permission by the

competent authority.

(c) As from 1 April 2020, such UK

Transitory provision.

UCITS management companies shall no longer be

treated as management companies as defined in

Article 2 of the UCITS Directive.

B

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