|
The
Financial Services and Markets Act 2000
Promotion of Collective Investment Schemes: Exemptions
Order 2001
Responses to
Consultation Document
In respect of
the promotion of collective investment schemes order, respondents
generally welcomed the provisions of the order. The representations
were varied and generally reflected comments made on the Financial
Promotion Order. Among the more significant points made were the following:
- In terms of
territorial scope, respondents expressed concerns about the
proposed control of investments directed outside the UK. As with
the Financial Promotion Order, CIS Order now provides exemption
for communications to overseas recipients. For unsolicited real
time communications, this exemption applies only where the communication
is made from outside the United Kingdom (UK) and it relates
to an overseas scheme (an unregulated scheme which is operated and
managed outside the UK). The equivalent exemption in the Financial
Promotion Order relates to communications from outside the UK which
are made for the purpose of business carried on outside the UK and
which is not carried on in the UK. The difference in drafting ensures
that authorised and unauthorised persons are treated in a broadly
similar way.
- As with the
financial promotion order, most respondents welcomed the proposed
exemptions for promotions of unregulated collective investment schemes
to high net worth individuals and sophisticated investors. However,
a number proposed changes at the margin. On this issue, the promotion
of collective investment schemes order has been amended so that
it remains consistent with the revised financial promotion order.
The rationale for these changes is set out in the summary of responses
to the financial promotion order.
|
